Days Sales in Inventory Calculator

Days sales in inventory says how long stock sits before it is sold, measured as inventory divided by cost of goods sold across the days in the period. Enter the closing inventory balance, optionally the opening one so the average is used, the cost of goods sold and the length of the period, and the tool returns the DSI, the matching inventory turnover ratio and the daily cost of goods sold. A second mode works backwards from a target DSI to the inventory balance that would produce it. The denominator is cost rather than revenue, because inventory is carried at cost; dividing it into sales is the usual way this ratio comes out wrong.