Inventory turns is:
A) the stock of inventory returned to a manufacturer due to poor quality.
B) also known as gross-profit margin turnover.
C) the number of times an inventory item moves within a warehouse.
D) high when the rate of selling merchandise is low.
E) the number of times inventory is sold or used during a specific period.

Question

Quizplus · Accepted Answer

Inventory turns refers to the number of times inventory is sold or used during a specific period. It is a measure of how efficiently a company is managing its inventory and how quickly it is turning the inventory into sales or revenue. A high inventory turnover ratio is generally considered to be a good indicator of efficient inventory management.

Inventory Turns Is