Inventory Analysis

This calculator helps you determine how much inventory you should hold, and when you should place inventory orders. The calculation attempts to keep your inventory level as efficient as possible, while maintaining adequate safety stock.

Definitions

Initial demand per week Your initial expected demand per week. Annual growth rate What you expect your annual sales growth to be over the next year. Safety stock Expressed as a percent of your sales, this is the level of inventory you require as safety stock. This stock is used to protect against out of stock situations. Order lead time in weeks How long it takes an order for more inventory to be received into inventory. This calculator assumes orders arrive in one batch with a known lead time, arriving just as stock is exhausted. Starting inventory Amount of inventory you currently have on hand.

The financial calculators are for educational purposes only and are to assist you in estimating the approximate costs associated with any bank activity. Your actual costs may vary.

The information provided should not be construed as tax or legal advice. Please consult with your tax advisor and/or attorney regarding your individual circumstances.

Securities, Insurance and Advisory Services are:

NOT A DEPOSIT • NOT FDIC-INSURED • NOT GUARANTEED BY THE BANK NOT INSURED BY ANY STATE OR FEDERAL GOVERNMENT AGENCY • MAY GO DOWN IN VALUE

BB&T Insurance Services, Inc. and BB&T Investment Services, Inc. are each a wholly owned subsidiary of Branch Banking and Trust Company. Scott & Stringfellow, Inc. is a wholly owned subsidiary of BB&T Corporation. BB&T Investment Services, Inc. is a Member FINRA/SIPC. Scott & Stringfellow, Inc. is a Member of NYSE/SIPC.

Branch Banking and Trust Company is a Member FDIC and an Equal Housing Lender.