INVENTORY
TURNS.

How many times a year you sell through and replace your stock — and how many days of inventory you are sitting on. Faster turns free up cash.

INVENTORY TURNS CALCULATOR

TURN IT
OVER.

Annual COGS ($)

Average inventory (at cost, $)

6.0×

Inventory turns per year

Days of inventory61

Weeks of supply8.7

Average inventory (cost)$50,000

Annual COGS$300,000

HOW IT WORKS

Turn your cost of goods and average inventory into annual turns and days of inventory — two sides of the same efficiency number.

Enter your numbers

Type your annual cost of goods sold (COGS) and the average value of inventory you hold, measured at cost.

We compute turns

Turns = COGS ÷ average inventory. Days of inventory = 365 ÷ turns, and weeks of supply = 52 ÷ turns.

Use the result

Higher turns and fewer days of inventory mean cash is not sitting on the shelf — benchmark against your category norm.