Days of cover estimates how long an available inventory quantity will last. Under constant demand, divide available units by expected units consumed per day; the result is measured in days, not financial inventory turnover.[1]
State the inventory date and what counts as available. A quiet-period average may be misleading before a seasonal peak. For changing demand, project consumption day by day rather than assuming one fixed daily rate. With zero demand, the simple ratio provides no useful finite coverage estimate.
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