The Inventory Turnover is an equation that equals the cost of goods sold divided by the average inventory. Average inventory equals beginning inventory plus ending inventory divided by 2
period of time in which the inventory of a business is completely used up and restocked
(Ticaret) An inventory investment and activity measure that compares inventory usage (as defined by the annual cost of goods sold) divided by the inventory investment (as defined as the average inventory level at standard cost). Higher values indicate a more efficient use of inventory; absolute targets can only be set based on relevant industry figures, as the turnover for grocery chains is vastly different than for capital goods manufacturers