Answer:
Inventory Turnover Ratio = 7.43 times
Explanation: Due to missing data following assumptions have been taken:
<u>Assumptions</u><u>:</u> Sales Value: $600,000
Gross Profit: $80,000
Opening Inventory: $ 60,000
Closing Inventory: $80,000
Inventory Turnover Ratio =
Cost Of Goods Sold = Sales - Gross Profit = $600,000 - $80,000 = $520,000
Average Stock =
WHERE, OS = Opening Stock
CS= Closing Stock
Average Stock = $70,000
Inventory Turnover Ratio = = 7.43 times