The stockturn rate is
A) the firm's ability to meet its short-term financial obligations.
B) the number of days that credit sales remains in receivables.
C) the number of times the average inventory is sold in a year.
D) the difference between net sales and cost of goods sold.
E) the ratio of sales to inventory.

Question

Quizplus · Accepted Answer

The stockturn rate, also known as inventory turnover, is the number of times the average inventory is sold in a year. This measure helps indicate how efficiently a company is managing and selling its inventory.

The Stockturn Rate Is