Question

the following calculate stock turnover ratio :
12020.
7
9,00,000
3,00,000
1,00.000
2,00.000
[Ans. 8 times
From
Particulars
Opening Stock
Closing Stock
Purchases
Wages
Sales
Carriage Inwards
₹
24,000
26,000
73.000
20.000
1.20,000
9,000
fimes]​

Answer 1

Stock turnover ratio is = cogs/ average stock
Cogs =opening stock +purchases + direct expense - closing stock
Average stock = (opening stock + closing stock)/2