Calculator

Inventory Turnover Ratio Calculator

Estimate inventory turns and the working capital freed by adding a single turn.

Last updated July 2026

What it measures

Inventory turnover (turns) is how many times a business sells and replaces its average inventory in a year. Higher turns mean less cash tied up per dollar of sales.

Inventory turns per year

Formula Inventory Turns = Cost of Goods Sold ÷ Average Inventory

Basis: Epicor / MDM

Estimates are directional and for planning only; they don't constitute financial advice.

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