2 Views

Question : Find out the stock turnover ratio from the following information :
Opening stock = Rs. 50,000 Closing stock = Rs. 60,000 and Cost of goods sold = Rs. 2,20,000

 

Option 1: 5:1

Option 2: 3:1

Option 3: 4:1

Option 4: None of the above


Team Careers360 24th Jan, 2024
Answer (1)
Team Careers360 25th Jan, 2024

Correct Answer: 4:1


Solution : Average Stock = Opening stock + Closing stock/2
Average Stock = 50,000+60,000/2=55,000
Stock turnover ratio = Cost of goods sold/ Average Stock 2,20,000/55,000 = 4:1
Hence option 3 is the correct answer.

Related Questions

CLAT Current Affairs with GK ...
Apply
Stay updated with current affairs & check your preparation with the CLAT General Knowledge Mock Tests Ebook
CLAT English Language Mock Tests
Apply
Free Ebook - CLAT 2025 English Language questions with detailed solutions
ICFAI Business School-IBSAT 2024
Apply
9 IBS Campuses | Scholarships Worth Rs 10 CR
CLAT Legal Reasoning Mock Tests
Apply
Free Ebook - CLAT 2025 legal reasoning questions with detailed solutions
GIBS Business School Bangalor...
Apply
100% Placements with 220+ Companies
Great Lakes PGPM & PGDM 2025
Apply
Admissions Open | Globally Recognized by AACSB (US) & AMBA (UK) | 17.3 LPA Avg. CTC for PGPM 2024
View All Application Forms

Download the Careers360 App on your Android phone

Regular exam updates, QnA, Predictors, College Applications & E-books now on your Mobile

150M+ Students
30,000+ Colleges
500+ Exams
1500+ E-books