Formula
Inventory turnover = Annual COGS ÷ Average inventory. Days inventory = 365 ÷ Turnover. Annual holding cost = Average inventory × Holding-cost rate.
X-Facture Finance Engine
Inventory Turnover & Carrying Cost Calculator
Analyze stock efficiency, Days Sales in Inventory (DSI), and the annual hidden costs of holding unsold stock.
Stock & Cost Parameters
$
Total wholesale cost of stock sold in 12 months$
Standard stock value held on-hand%
Warehouse, capital, risk, and insurance %Operational Efficiency Analysis
Inventory Turnover Ratio6.00xTimes stock was refreshed per year
Days Sales in Inventory (DSI)61 DaysAverage shelf-life of a SKU
Carrying Cost Composition
Hidden Stock Expenditure SplitAnnual Holding Cost$18,750
Warehouse Cost$3,750
Capital Opportunity$11,250
Inventory Risk$2,813
Calculator guide
Inventory Turnover & Holding Calculator
Calculate inventory turnover, days inventory outstanding and inventory holding costs.
35finance tools
How it works
Enter annual cost of goods sold, average inventory and an estimated annual carrying-cost rate. The calculator translates those inputs into turnover speed, inventory days and annual carrying cost.
Assumptions & notes
- Average inventory is preferable to ending inventory when the data is available.
- The holding-cost rate is an assumption covering the carrying costs relevant to the business.
- The cost breakdown displayed by the chart is an illustrative allocation, not an accounting classification.