Inventory per $100 Sales

If you grow sales by $100, how much extra inventory do you need to buy? More inventory ties up cash you could use elsewhere.

How it's worked out
(Inventory / Sales) × 100
Which way is better
Lower is betterLower is better for cash.

Written by Mandy Walker, founder of Focus on Cash. Updated October 2026. This explanation comes from the glossary inside Focus on Cash, so it matches the words you see in the app.

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