Inventory turnover calculator
Calculate annual inventory turnover and average days of inventory.
Assumptions
Measure inventory turnover and average days of inventory from annual cost of goods sold.
Ready to calculate
Adjust the assumptions, then run the calculation.
Turnover = cost of goods sold ÷ average inventory; inventory days = 365 ÷ turnover.
Management metric only: interpret the result using your accounting methods, business model, and reference period.