What is turnover days and how is it calculated?

Turnover days is how many times an average stock is being converted into sales. Fewer turnover days means that you are selling your food quickly and often indicate less waste and lower food cost.


Step 1. 
Opening inventory + Closing inventory / 2 = Average inventory 
Opening inv. + Purchase – Closing inventory = Inventory used 
Step 2. 
Average inventory / Inventory used = Turnover ratio 
Step 3. 
Days in the month / Turnover ratio = Turnover days 

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