LIVE GST Certification Course by CA Arun Chhajer begins 27th April. Register Now!!

Easy Office

Regarding of financial

MPR Sanjay Kumar (2978 Points)

02 December 2021

🌟 what is mean by inventory turnover ratio why we using these kind of ratio in company what is the formula for this

Reply
Follow
Share

4 Replies

sabyasachi mukherjee (26039 Points)
Replied 02 December 2021

Purpose of inventory turnover is to.ascertain the proportion of stock to cost of goods sold.
If I can determine that I can ascertain whether my stock holding is high or low in proportion to the turnover.
Here cost of goods sold is determined to negate the profit from turnover.

2 Like

MPR Sanjay Kumar (2978 Points)
Replied 02 December 2021

Inventory turnover ratio is equal to cost of stock of material consumed / average stock of material.....this formula is correct or not..

sabyasachi mukherjee (26039 Points)
Replied 02 December 2021

Not cost of stock of material.

MPR Sanjay Kumar (2978 Points)
Replied 02 December 2021

Could you plse tell me the forumala

Join CCI Pro

Recent Topics

More recent discussions | Post

Related Threads

Popular Discussion

Start a New Discussion

Easy Office

Trending Online Classes

Live class on Bonus & Gratuity(with recording)

Mr.Balamurugan Ranganathan

Enroll Now

25 April 2024
GST Live Certification Course (39th Batch) - April 2024 (Weekend Batch) (With Certificate)

CA Arun Chhajer

Enroll Now

21 April 2024
"Live class on Python for Financial Analysis: Unlocking Efficiency in Accounting and Finance"

CA Vishal Zawar

Enroll Now

01 May 2024

view all classess

CCI Pro

Subscribe to the latest topics :

Search Forum:

Forum Home

Popular Threads

Recent Posts

Unreplied Threads

Settings