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A company's beginning inventory was $20,000, and its ending inventory was $25,000. If the cost of goods sold was $100,000, calculate the inventory turnover ratio
A company's beginning inventory was $20,000, and its ending inventory was $25,000. If the cost of goods sold was $100,000, calculate the inventory turnover ratio and discuss its implications for inventory management efficiency and liquidity. Explore how variations in inventory turnover ratios across industries can reflect differences in demand patterns, production processes, and inventory management practices.
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