what is the average age of inventory 
the average age of inventory is the average number of days it takes for a firm to sell off inventory it is a metric that analysts use to determine the efficiency of sales the average age of inventory is also referred to as days sales in inventory dsi formula and calculation of average age of inventorythe formula to calculate the average age of inventory is average age of inventory c g 3 6 5 where c the average cost of inventory at its present level g the cost of goods sold cogs begin aligned text average age of inventory frac c g times 365 textbf where c text the average cost of inventory at its present level g text the cost of goods sold cogs end aligned average age of inventory gc 365where c the average cost of inventory at its present levelg the cost of goods sold cogs 