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Q. Explain about Inventory Turnover Ratio ?
Inventory Turnover Ratio: - Definite items of inventory are slow moving. It signifies that their consumption is quite slow and capital remains locked up in such items for a long period. As a consequence carrying costs continue to incur on such items. Slow moving items are able to be identified with the help of inventory turnover ratios.
Inventory Turnover Ratio (in times) = Cost of Goods Sold / Average Stock
Method to Identify the Component of Seasonal Variation in a Time Series This technique is called as Ratio to Moving Average Method. In this technique, we construct an index wh
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need to understand some basics of changes in working capital
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