Inventory · Cost of ownership
Count the stock.
Price the time.
Combine your capital, storage, service, and risk assumptions into a transparent inventory carrying-cost estimate.
Average inventory value→Capital + storage + service + risk→Period carrying cost
Period carrying cost
$25,000.00Carrying Rate25.0%
Monthly Carrying Cost$2,083.33
Carrying Cost Per Unit$5.00
Capital Cost$10,000.00
Storage Cost$6,000.00
Service Cost$2,000.00
Risk Cost$7,000.00
Inventory Turns4.00×
Days Inventory91.3 days
Planning estimate only. Verify actual tax rules, prices, cash-flow timing, exchange quotes, fees, and accounting treatment for your business.Calculation method
Apply each annual carrying-rate component to average inventory value.
The calculator adds the entered annual capital, storage, service, and risk rates, applies that rate to average inventory value, and prorates the result to the analysis period. Per-unit cost uses average units; turns use annual COGS divided by average inventory value. This planning model excludes SKU-level aging, changing warehouse tiers, inbound freight, taxes, stockouts, financing structure, salvage, and time-varying inventory balances.