Question

Roberta sold goods costing $35,500, her expenses totaled $2,500 and her freight in totaled $750.

Her company's average stock of goods during the same period was $9,500.
The inventory turnover ratio for Roberta's company is

Answer 1

Answer:

Inventory turnover ratio is 3.74

Step-by-step explanation:

Inventory turnover is a ratio of the number of times a company's inventory is sold and replaced in a given period.

Inventory turn over ratio is calculated as ; Cost of goods sold ÷ Average stock of goods sold

= $35,500 / $9500

= 3.74