Inventory turnover ratio is applicable for which country (india or america)
Answers
Inventory turnover ratio is applicable for both America and India as they give magnitude of the turnover.
Inventory turnover a magnitude relation depends upon a high magnitude relation implies either robust sales or low inventory, that results in lost business. Sometimes, a coffee inventory ratio could be a sensitive issue, like once costs are expected to rise (inventory pre-positioned to fulfill fast-rising demand) or once shortages are anticipated.
The inventory turnover quantitative relation conjointly referred to as a stock turnover magnitude relation, is one in all the key figures accustomed evaluate the potency of an organization in handling the products it manufactures or buys to sell. Like all metric calculated by victimization data from the money statements, the turnover magnitude relation has limitations.