Inventory Turnover & DSI Calculator

def calculate_inventory_turnover(cogs, beg_inv, end_inv, days=365):
    """
    Calculate Inventory Turnover Ratio and Days Sales of Inventory (DSI).
    """
    avg_inventory = (beg_inv + end_inv) / 2.0
    if avg_inventory <= 0:
        raise ValueError("Average inventory must be greater than zero.")
        
    turnover_ratio = cogs / avg_inventory
    dsi = (avg_inventory / cogs) * days
    
    return turnover_ratio, dsi, avg_inventory

# Inputs
COGS = 1200000
Beginning_Inv = 180000
Ending_Inv = 220000
Period_Days = 365

turns, dsi_days, avg_inv = calculate_inventory_turnover(COGS, Beginning_Inv, Ending_Inv, Period_Days)

print(f"Average Inventory: ${avg_inv:,.2f}")
print(f"Inventory Turnover: {turns:.2f} turns")
print(f"Days Sales of Inventory (DSI): {dsi_days:.1f} days")

function [turnover_ratio, dsi, avg_inventory] = calculate_inventory_turnover(cogs, beg_inv, end_inv, days)
    % Calculate Inventory Turnover & DSI
    avg_inventory = (beg_inv + end_inv) / 2;
    turnover_ratio = cogs / avg_inventory;
    dsi = (avg_inventory / cogs) * days;
end

% Example
COGS = 1200000;
Beginning_Inv = 180000;
Ending_Inv = 220000;
Period_Days = 365;

[turns, dsi_days, avg_inv] = calculate_inventory_turnover(COGS, Beginning_Inv, Ending_Inv, Period_Days);
fprintf('Inventory Turnover: %.2f turns\n', turns);
fprintf('DSI: %.1f days\n', dsi_days);