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प्रश्न
What is Inventory Turnover Ratio?
लघु उत्तर
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उत्तर
It indicates that the average inventory and the cost of operating revenue are related. It shows the rate at which inventory is converted into operating revenue or the frequency with which inventory is converted into operating revenue through the period of the year.
Inventory Turnover Ratio = `"Cost of Revenue from Operations"/"Average Inventory"`
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