AVERAGE AGE OF INVENTORY Definition

Bookmark and Share

AVERAGE AGE OF INVENTORY is calculated by the formula: 365 / inventory turnover.

Learn new Accounting Terms

IVA TAX see IMPOSTA VALORE AGGIUNTO TAX.

NET RECEIVABLES are a companys accounts receivable (money owed to the company) minus any provisions for bad debts. A firm with a sustainable competitive advantage shows a lower percentage net receivables to gross sales than their competitors, i.e. a firm with a sustainable competitive advantage need not be generous with credit.

Suggest a Term

Enter Search Term

Enter a term, then click the entry you would like to view.