Inventory turnover is an indicator of a company’s revenue efficiency. It is the ratio defining how many times the inventory was sold and replaced in a given period of time. The inventory turnover ...

For companies that sell a product, inventory is a major consideration. The more inventory you have, the more money that’s tied up in a static product. Until you sell the product, that money isn’t ...

Balancing the spending of funds for purchasing items for inventory and the income of cash through sales is a difficult yet important task. For home builders, whose inventory items are often ...

Accounts receivable turnover and inventory turnover are two important ratios used by analysts to measure how efficiently a firm is paying its bills, collecting cash from customers, and turning ...

A common figure in financial statements is the cost-of-goods sold; the COGS ratio is removed from a company's profits when calculating gross profit, which is a measure of profitability that assesses a ...

An organization holds inventory in the form of raw materials and finished goods. Inventory comprises the raw materials and finished goods held by the organization during a given period. From an ...

In industries such as retail, success depends on management's ability to make or buy the right amount of inventory and to move that inventory through the distribution system as quickly as possible.

Inventory turnover ratio of a company determines the frequency of sales happening at a company. The ratio also suggests how efficiently and quickly the management is able to convert its inventory into ...