Which ratio can provide an indication of the salability of the company's products?
A) Account receivable turnover
B) Current ratio
C) Inventory turnover
D) Gross profit margin

Question

Quizplus · Accepted Answer

Inventory turnover provides an indication of the salability of a company's products by showing how often the company sells and replaces its inventory over a certain period. A higher inventory turnover ratio suggests high sales and efficient management of inventory, indicating good salability of products.

Which Ratio Can Provide an Indication of the Salability of the Company's