Course Solutions Uncategorized (Answered) : a: a rate of 1,000 per year, and average inventory is worth $6,000. What is the inventory turnover?

(Answered) : a: a rate of 1,000 per year, and average inventory is worth $6,000. What is the inventory turnover?

a: a rate of 1,000 per year, and average inventory is worth $6,000. What is the inventory turnover?

Expert Answer


Cost of goods sold = $ 30 X 1000 = $30,000

Average inventory = $6000

Inventory turnover = COGS/average inventory

Inventory turnover = $30,000/$6000 = 5

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