Inventory Ratio Turnover is a metric that measures how quickly a business can move its inventory. It shows the number of times inventory is sold or consumed over a given period of time. A higher ratio indicates that the company is efficiently using its inventory, while a lower ratio may suggest that the company has too much unsold or unused inventory on hand. Companies can use this information to calculate their cost of goods sold and determine whether they need to adjust their order quantities or promotional activities. The Inventory Ratio Turnover is essential for any company that wants to stay competitive in today’s rapidly changing market.