Rate of inventory turnover is an efficiency ratio which determines how quickly a firm goes through its stock. A high stock turnover is preferable as this means stock is selling – marketing and ...

This efficiency ratio compares net sales (income statement ... Fixed assets vary drastically from one company type to the ...

This is why one must consider the popular efficiency ratios listed below while selecting stocks. Receivables Turnover: This is the ratio of 12-month sales to four-quarter average receivables.