How Fast Inventory Turn Over
Compare cost of goods wey you sell with average stock value.
Your numbers
Inventory turnover ratio
Business ratio from inputs for the same consistent period. Accounting definitions and industry comparisons fit differ.
Compare scenarios
You fit keep up to three snapshots for this tab. Loading one go replace the present inputs.
Formula
Use T = C/I and D = d/T. C na cost of goods sold for the period, I na average inventory, and d na days for that period. T na turnover and D na inventory days.
Compare cost of goods wey you sell with average stock value.
Example wey show the calculation
- Cost of goods wey you sell for the period
- 600000
- Stock value on average
- 100000
- Number of days for the period
- 365
- Inventory turnover ratio
- 6 number of times
- How many days stock stay
- 60.8333333333 days
Where e fit work and limits
Business ratio from inputs for the same consistent period. Accounting definitions and industry comparisons fit differ.
We check inputs for missing values and allowed ranges. Result wey pass the finite numeric range no go show. Rounding affect wetin display, while calculation use the model numeric precision.
Check your units and assumptions before you rely on result. Changing label no convert currency or physical unit.
Version of di formula: 48c436358727 · Example don get check: