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English definition of “average stock”

average stock

noun [C or U]
 
 
ACCOUNTING
the average value of products kept for sale during an accounting period. It is calculated by adding the value of the products at the beginning of the period and the value at the end of the period and then dividing the total by two: The company's ratio of average stock to total net sales was 21.3%.
(Definition of average stock from the Cambridge Business English Dictionary © Cambridge University Press)
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