Target Inventory Investment Formula

Fx Copy
LaTeX Copy
Target Inventory Investment is the difference between goods produced (production) and goods sold (sales) in a given year. Check FAQs
TI Invt=COGSTITurnover
TI Invt - Target Inventory Investment?COGS - Projected Annual Cost of Goods Sold from Stock Sales?TITurnover - Target Inventory Turnover?

Target Inventory Investment Example

With values
With units
Only example

Here is how the Target Inventory Investment equation looks like with Values.

Here is how the Target Inventory Investment equation looks like with Units.

Here is how the Target Inventory Investment equation looks like.

10000Edit=200000Edit20Edit
You are here -
HomeIcon Home » Category Financial » Category Business » Category Important Formulas of Business » fx Target Inventory Investment

Target Inventory Investment Solution

Follow our step by step solution on how to calculate Target Inventory Investment?

FIRST Step Consider the formula
TI Invt=COGSTITurnover
Next Step Substitute values of Variables
TI Invt=20000020
Next Step Prepare to Evaluate
TI Invt=20000020
LAST Step Evaluate
TI Invt=10000

Target Inventory Investment Formula Elements

Variables
Target Inventory Investment
Target Inventory Investment is the difference between goods produced (production) and goods sold (sales) in a given year.
Symbol: TI Invt
Measurement: NAUnit: Unitless
Note: Value can be positive or negative.
Projected Annual Cost of Goods Sold from Stock Sales
Projected Annual Cost of Goods Sold from Stock Sales is a realistic projection of what your sales from warehouse stock will be (at cost) during the next 12 months.
Symbol: COGS
Measurement: NAUnit: Unitless
Note: Value can be positive or negative.
Target Inventory Turnover
Target inventory turnover is the theoretical measure of how often, at the current rate of sales, you sell your entire inventory in one year.
Symbol: TITurnover
Measurement: NAUnit: Unitless
Note: Value can be positive or negative.

Other formulas in Important Formulas of Business category

​Go Break-Even Point
BEP=FCCM
​Go Return on Capital Employed
ROCE=(EBITTA-CL)100
​Go Solvency Ratio
SR=SF100TA
​Go Economic Order Quantity
EOQ=(2CfDemandCh)(12)

How to Evaluate Target Inventory Investment?

Target Inventory Investment evaluator uses Target Inventory Investment = Projected Annual Cost of Goods Sold from Stock Sales/Target Inventory Turnover to evaluate the Target Inventory Investment, Target Inventory Investment is the difference between goods produced (production) and goods sold (sales) in a given year. Target Inventory Investment is denoted by TI Invt symbol.

How to evaluate Target Inventory Investment using this online evaluator? To use this online evaluator for Target Inventory Investment, enter Projected Annual Cost of Goods Sold from Stock Sales (COGS) & Target Inventory Turnover (TITurnover) and hit the calculate button.

FAQs on Target Inventory Investment

What is the formula to find Target Inventory Investment?
The formula of Target Inventory Investment is expressed as Target Inventory Investment = Projected Annual Cost of Goods Sold from Stock Sales/Target Inventory Turnover. Here is an example- 10000 = 200000/20.
How to calculate Target Inventory Investment?
With Projected Annual Cost of Goods Sold from Stock Sales (COGS) & Target Inventory Turnover (TITurnover) we can find Target Inventory Investment using the formula - Target Inventory Investment = Projected Annual Cost of Goods Sold from Stock Sales/Target Inventory Turnover.
Copied!