Days Inventory Held Formula is a powerful tool that business owners can use to measure how quickly inventory moves. By using this formula, businesses can calculate their average number of days it takes to sell their stock and set appropriate inventory levels. In simpler terms, the formula essentially tells you how long products sit on shelves before they are sold. It’s an important metric to consider as it helps determine when and in what quantities to order new products. Days Inventory Held Formula gives valuable insight into the performance of your supply chain, so make sure to use it when making strategic decisions about inventory management!