A company has an annual cost for goods sold of 15 million an

A company has an annual cost for goods sold of $15 million and an average inventory value of $500,000. What are the inventory turns for this company?

Annual cost for goods sold for a company is $15million

(1million=10lakhs)

so,goods sold at a cost =$(15*10,00,000)=$1,50,00,000

given that, average inventory value =$5,00,000

we know that , Average = SUM / total (for inventory)

5,00,000 = SUM / 12 (total =12 months)

SUM=5,00,000 * 12 = 60,00,000

TOTAL INVENTORY TURNS = $60,00,000 = 6million ANNUAL COST = $1,50,00,000 = 15million