Free business tool

Retail Inventory Turnover & Stock Planning Calculator

Measure stock holding and estimate when replenishment should begin.

Inputs

Cost of goods soldFor the selected period, at cost.$Opening inventory valueAt cost, beginning of period.$Closing inventory valueAt cost, end of period.$Days in periodUse the same period as COGS.daysOn-hand unitsAvailable units for one SKU or consistent group.unitsAverage weekly unit demandUse a recent representative period.units/weekSupplier lead timeDays from order to receipt.daysExtra coverAdditional days of demand held as a simple buffer.days

Results

Average inventory at cost$50,000.00

Inventory turnover in period4.8×

Days inventory outstanding76 days

Weeks of supply at current demand6.7 weeks

Safety stock from extra cover180 units

Reorder point720 units

Reorder when the inventory position reaches this point. On-hand stock alone may differ from inventory position because open orders and backorders matter. The buffer is a chosen number of days, not a statistical service-level calculation.

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