About this tool
Compare inventory turnover and days on hand using the cost and stock values entered. Keep the accounting period and valuation basis consistent so the ratio describes the inventory cycle you intend to review.
Calculations and file processing run in this browser tab. The tool does not send working inputs or files to our hosting server.
मुख्य इनपुट और नियंत्रण हिंदी में देखने के लिए ऊपर “🇮🇳 हिंदी में देखें” चुनें। गणना और फ़ाइल प्रोसेसिंग इसी ब्राउज़र टैब में होती है; टूल आपके इनपुट हमारी होस्टिंग पर नहीं भेजता।
Features
- Work with Annual Cost of Goods Sold (COGS) (₹); Opening Inventory Value (at Cost) (₹); Closing Inventory Value (at Cost) (₹).
- Review Average Inventory; Turnover Ratio; Days Inventory on Hand (DOH) in the result breakdown.
Benefits
- Put stock holdings in relation to cost of sales.
- Compare periods using the same valuation basis.
Who should use this tool?
- Sellers reviewing stock movement.
- Finance teams checking inventory ratios.
How to use
- Complete the labelled fields for your scenario, including Annual Cost of Goods Sold (COGS) (₹); Opening Inventory Value (at Cost) (₹); Closing Inventory Value (at Cost) (₹). Use the units shown beside each field.
- Try the example labelled “₹24L Annual COGS, ₹3.5L Opening, ₹4.5L Closing (6x Turnover)” if you want to check the workflow first.
- Select Calculate / Run Tool and review Inventory Turnover Ratio & Holding Days and Average Inventory; Turnover Ratio.
- Check the assumptions and limitations below. Adjust a value to compare scenarios, then copy or download the result you need.
Try these worked examples
| Scenario | Example inputs | Example result |
|---|---|---|
| ₹24L Annual COGS, ₹3.5L Opening, ₹4.5L Closing (6x Turnover) | Annual Cost of Goods Sold (COGS) (₹): 2400000Opening Inventory Value (at Cost) (₹): 350000Closing Inventory Value (at Cost) (₹): 450000 | 6x per Year (60.8 Days on Hand) |
| ₹50L Annual COGS, ₹5L Opening, ₹5L Closing (10x Fast Moving) | Annual Cost of Goods Sold (COGS) (₹): 5000000Opening Inventory Value (at Cost) (₹): 500000Closing Inventory Value (at Cost) (₹): 500000 | 10x per Year (36.5 Days on Hand) |
Reference and processing
Standard Retail & Financial Accounting Ratios · Listed applicability: 2025-2026
Calculations and file processing run in this browser tab. The tool does not send working inputs or files to our hosting server.
FAQs
Should I use retail sales instead of cost of goods sold?
Use the cost basis requested by the fields. Mixing selling-price revenue with inventory valued at cost can distort the turnover comparison.
Which inputs do I need for Inventory Turnover Ratio & Days of Inventory on Hand (DOH) Calculator?
Use Annual Cost of Goods Sold (COGS) (₹); Opening Inventory Value (at Cost) (₹); Closing Inventory Value (at Cost) (₹). The built-in examples show how those fields fit together.
What should I check before using this result?
Use Cost of Goods Sold (COGS), not retail selling price, in the numerator for accurate turnover. Check the assumptions and output against your intended task before relying on the result.
What happens to the information I enter?
Calculations and file processing run in this browser tab. The tool does not send working inputs or files to our hosting server. Tool favourites save only tool IDs in this browser. Sharing sends the tool link, not your working values or files.