INVENTORY TURNOVER
A rate which measures the number of times an inventory is sold or used over a time period. The days within a specific time period can be divided by the inventory turnover formula in order to compute the days it takes to sell the inventory on hand or inventory turnover days.
Generally computed as: Inventory Turnover = Sales / Inventory
It can also be computed as: Inventory Turnover = Prices of Goods Sold / Average Inventory
A low turnover implies poor sales and excess inventory while a high turnover denotes either firm sales or inefficient buying. Also called stock turns, inventory turns, and stock turnover ratio.
POPULAR TERMS
Peace Dividend
It is the funds that become available in the budget of the national government when the county is at peace, and can afford to lessen its defense sp ...
Subprime Meltdown
Situation which affected the mortgage industry in 2007 because of approving individuals with poor credit rating. The housing boom in mid-2000s and ...
False Market
A market in which prices are manipulated by false information, preventing the efficient negotiation of prices. These types of markets will often be ...
Worldwide Coverage
Worldwide Coverage is an insurance policy that provides international coverage for personal property owned by the insured against any loss or damag ...
In the Pink
Informal expression that describes a situation in which an economy or investor is in a rosy financial position. More generally, it pertains to bein ...
POPULAR ARTICLE
SEE FOREX TUTORIAL
A Guide to Your Personal Income Tax: Common Filing Mistakes
Failure to file the return on time is the most common mistake committed by taxpayers. Here are some of the other mistakes, which can cost you a lot ...
The Types of Stock
Now that you’ve learned the basics of stocks, what it is, and how it works, we can now learn more about them. The next thing you need to know ...
Student Loans: Loan Repayment
Students, soon after your graduation, you need to enter the repayment phase. In other words, you have to start paying off your student loans. This ...
Gauging Inflation
In the United States, the inflation rate was 0.2% through the 12 months ended July. In the United Kingdom, inflation was 0.1% in July.
A Guide to Your Personal Income Tax: Basics
For many filing your personal income tax is one of the most frustrating things to do. However, by planning ahead and pacing yourself, doing your ta ...
ECONOMIC CALENDAR
| Time | Country | Indices | Period |
|---|---|---|---|
| 06:30 | Industrial Production | Jul | |
| 08:30 | Producer & Import Prices | Aug | |
| 11:01 | New Yuan Loans | Aug | |
| 14:30 | Consumer Price Index | Aug | |
| 14:30 | Consumer Price Index Core | Aug | |
| 14:30 | Common Core CPI | Aug | |
| 14:30 | Trimmed Core CPI | Aug | |
| 14:30 | Median Core CPI | Aug | |
| 14:30 | Manufacturing Shipments | Jul |
