Question

A pharmacy has purchased 550 products over a period of 3 months. If their average inventory was 235 products in a 3 month period what was their inventory turnover rate for this period

Answer 1

2.34

Explanation:

A pharmacy purchased 550 products over a period of 3 months

The average inventory was 235 products during the period of 3 months

Therefore, the inventory turnover rate for this period can be calculated as follows

= 550/235

= 2.34

Hence the inventory turnover rate for this period is 2.34