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Inventory turnover
Calculate how often inventory turns over in a period.
Try your numbers
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Your result
How this works
Calculate how often inventory turns over in a period.
Formula
Turns = cost of goods sold ÷ average inventory. Holding days = period days ÷ turns.
Assumptions and limits
Use cost values, not retail prices. Holding days are undefined if cost of goods sold is zero.
Worked example
Replace the example with your own figures, then compare scenarios. Include all relevant costs and use records from matching periods.