Inventory turnover measures the number of times on average the inventory was sold during the period.

Name: Inventory turnover measures the number of times on average the inventory was sold during the period.
Brand: Quizplus
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Quizplus · Accepted Answer

Inventory turnover is calculated by dividing the cost of goods sold by the average inventory value. This ratio indicates how quickly a company is selling its inventory and replenishing it with new stock. It is expressed as a number of times per period (usually a year).

Inventory Turnover Measures the Number of Times on Average the Inventory