Days in Inventory is a measurement of the number of days an item spends in inventory.
Days in Inventory = (Inventory / Cost of Sales) x 365
- Wikipedia – Days in Inventory – An explanation of how the days in inventory metric.
- Accounting Tools – Days inventory outstanding – The days of inventory formula and an explanation of how it works.
- WikiHow – How to calculate days in inventory – A step by step explanation of how to calculate days in inventory.
- Investopedia – Days Sales of Inventory – DSI – A full explanation of days in inventory.