Inventory turn is a better measure than the total value of inventory for comparative purposes because it is a relative measure.

Question

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Inventory turn measures the number of times a company sells and replaces its inventory during a certain period, making it a relative measure that takes into account the company's sales volume. On the other hand, the total value of inventory does not provide any information on how efficiently a company is managing its inventory, as it only reflects the dollar amount of inventory on hand at a specific point in time.

Inventory Turn Is a Better Measure Than the Total Value