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(Average inventory/Cost of sales) * 365 days
Average inventory can be arrived by taking this year's and last year's inventory values and dividing by 2
- (Opening inventories + closing inventories) / 2.
This ratio demonstrates how long the inventory stays in the company before it is sold. The lower the ratio the more efficient the company is trading though this may result in low levels of inventories to meet demand. A lengthening inventory period may indicate a slowdown in trade and an excessive build-up of inventories, resulting in additional costs.
The new investment has been under consideration since the beginning of January 2008 when the new government of Gujistan first invited companies to submit their proposals to build a
I need to conduct bivariate tests using two regime threshold cointegration for nonlinear relations. I have the code but it will nee some modification. Is there someone can help?
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