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How to calculate days of inventory on hand in Excel and Google Sheets
Excel & Google Sheets
=B2/C2✓
Verified example
Computed by a real spreadsheet engine on the sample data below.
| Item | Units on Hand | Daily Sales | Days on Hand |
| Product A | 200 | 20 | |
| Product B | 150 | 10 | |
| Product C | 80 | 16 | |
| Product D | 400 | 25 |
=B2/C2→10
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Step by step
- 1Set up columns: Item, Units on Hand (B), Avg Daily Sales (C), Days on Hand (D).
- 2In D2, enter =B2/C2 to divide current stock by average daily sales.
- 3Copy the formula down for all items.
- 4Use IFERROR to handle items with zero daily sales: =IFERROR(B2/C2,"N/A").
Tips
- Compare Days on Hand against your supplier lead time to spot items at risk of stockout before the next delivery arrives.
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Frequently asked
How do I get average daily sales from monthly data?
Divide monthly sales by the number of days in the period: =MonthlySales/30 or use AVERAGE over a daily sales range.
What is a healthy days-on-hand figure?
It depends on the industry and product. Generally, keeping DOH between 30 and 60 days is common for retail, but perishables should be much lower.