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is the total amount of revenue generated by a business during the calculation period. The concept is useful for tracking sales levels on a trend line through multiple measurement periods, in order to spot meaningful changes in activity levels. The calculation period is usually one year. The revenue included in this calculation is from both cash sales and credit sales
company's total sales by the average inventory value
Average inventory value = Total inventory each day by dividing no. of days
Sales turnover is actually total sale or revenue within a specific financial year.
Inventory turnover is a key for calculating sales ratio, how even an inventory is consumed in certain period is called inventory turn over. so sales ratio is generated from that report.
