How to Calculate Inventory Turnover/Turns From the Balance SheetBY JOSHUA KeNNON Updated August 19, 2019googel翻译中文放在评论中The faster inventory turnover occurs, the more efficiently a business o perates while experiencing a higher return on its equity and other assets. An inventory turnover ratio, also known as inventory turns, provides insight into the efficiency of a company, both absolute and relative when converting its cash into sales and profits.For example, if two companies each have $20 million in inventory, the one sells all of it every 30 days has better cash flow and less ...