Which of the following is a type of working capital measure?

Inventory turnover is a crucial measure of working capital because it assesses how efficiently a company manages its inventory relative to its sales. This metric indicates how many times a company sells and replaces its inventory over a specific period. A higher inventory turnover rate typically signifies effective management practices, as it reflects strong sales performance and efficient use of working capital.

Effective working capital management is essential for a business's operational efficiency and liquidity. Inventory that turns over quickly means that the company is not tying up too much cash in unsold products, allowing it to maintain a healthy cash flow, which is vital for day-to-day operations.

In contrast, the other options do not relate directly to working capital management. Net asset value pertains to the value of a company's assets minus its liabilities, focusing on the overall financial position. Gross profit margin measures the profitability of sales after accounting for the cost of goods sold, which is vital but not a direct measure of working capital. Market capitalization indicates the total market value of a company's outstanding shares and is more reflective of market equity than operational efficiency in working capital terms. These distinctions highlight why inventory turnover is the key measure of working capital among the choices presented.