1/17/2024 0 Comments Freight inventory turnsA low inventory turnover ratio indicates that a company may have overstocking or a lack of marketing or product line effort. Inventory issues prevent many businesses from surviving this. When product flow changes over the year and inventories contract and grow over time, more frequent inventory level measurements are needed to determine an accurate average inventory level.Įxhibiting high and low turnover ratios simplifies inventory turnover ratio explanations.
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