The inventory turnover number tells you how many times a business has sold its stock and bought new stock in a certain amount of time. To find it, divide the cost of goods sold (COGS) by the usual amount of stock that was on hand during that time. The cost of goods sold (COGS) for 2023 is $600,000. There are $130,000 worth of goods in stock at the start and $150,000 worth at the end. Step 1: Figure out the usual amount of stock. To do this, add the goods at the start and end and divide by 2. (130,000 + 150,000) / 2 = 280,000 / 2 = 140,000 Step 2: Divide the cost of goods sold (COGS) by the usual inventory to get the inventory turnover ratio. 140,000 divided by 600,000 equals 4.29 times This means that in 2023, the business sold and bought back its stock 4.29. The cost of goods sold (COGS) for 2022 is $300,000. There are $100,000 worth of goods in stock at the start and $85,000 worth at the end.($85,000+$100,000)/2 = 92,500/2=46,250/$300,000 =6.5. Find the change in the inventory turnover ratio and write what causes the ratio to change