RollCallOperator Tools

Inventory

Inventory Turnover Calculator

How much cash am I storing on the shelf instead of using?

Slow turns mean cash sitting still and product ageing. Fast turns mean tight cash use but more risk of running out. This tells you which side you are on.

Your numbers

Pre-filled with a worked example so you can see how it behaves. Type over any field with your own figures. Nothing you enter is sent anywhere.

The answer

How this is calculated
Average inventory = (opening inventory + closing inventory) ÷ 2
Inventory turns = cost of goods sold ÷ average inventory
Days of inventory on hand = days in period ÷ inventory turns
What this does not tell you
  • A single blended figure across beer, wine, spirits, and food is hard to act on. Category-level turns tell you where the cash actually is.
  • Two count dates make a rough average. If your inventory swings hard mid-period, this understates the variation.

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