The Turnover Ratio Accounting definition is a measure of an organization’s success in generating revenue from its existing assets. It is calculated by taking the total amount of sales or revenue generated over a period of time and dividing it by the average value of assets at the beginning and end of that period. A high turnover ratio indicates efficient asset utilization, while a low turnover ratio may suggest that too much capital is tied up in non-income producing activities. By using the Turnover Ratio Accounting definition, businesses can better understand their financial performance and use their resources more efficiently.