A firm sold goods worth ₹ 5,00,000 and it's gross profit is 20 percent of sales value. The inventory at this beginning of the year was ₹ 16,000 and at end of the year was ₹ 14,000. Compute inventory turnover ratio and also the Inventory holding period.

Managerial Accounting: The Cornerstone of Business Decision-Making
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Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
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Chapter15: Financial Statement Analysis
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Problem 46E
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A firm sold goods worth ₹ 5,00,000 and it's gross profit is 20 percent of sales value. The inventory at this beginning of the year was ₹ 16,000 and at end of the year was ₹ 14,000. Compute inventory turnover ratio and also the Inventory holding period.

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