System inventory turnover represents management capabilities inventory. Inventory turnover is the number of times the average inventory rotation in the period.
System inventory turnover often compared over time to assess the capacity of management of inventories is good or bad through each male. This coefficient shows large rotation speed of the goods in the warehouse is fast and vice versa, if the coefficient is small, the rate of inventory turnover low. It should be noted, inventory bold nature of business should not have to keep inventory levels low is good, high inventory level is bad.
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