Days in Inventory calculator
Days in Inventory measures the average number of days the company holds its inventory before selling it. This activity ratio is used together with Inventory Turnover Ratio.
Days in Inventory formula is:
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Definitions and terms used in the Days in Inventory calculator
- Cost of Goods Sold (COGS): the direct cost attributable to the production or purchasing of the goods sold by a company during its fiscal year. It is also referred as Cost of sales.
- Inventory: the merchandise, raw materials and sub-assemblies, finished and unfinished products, consumables held available in stock by a business.
Terms of use
1. Complementarily, in order to calculate the Days in Inventory for your business, we offer a calculator free of charge. We appreciate a donation if you value our tools and services.
2. You may link to this calculator from your website as long as you give proper credit to
C. C. D. Consultants Inc. and there exists a visible link to our website.
3. Although C. C. D. Consultants Inc.'s personnel has verified and validated the Days in Inventory calculator, C. C. D. Consultants Inc. is not responsible for any outcome derived from its use. The use of Days in Inventory calculator is the sole responsibility of the user and the outcome is not meant to be used for legal, tax, or investment advice.