Know when to reorder stock
Reorder point = average daily unit demand × supplier lead time in days + safety stock. Inventory position = on-hand stock + confirmed incoming units − backorders.
Estimate when to reorder inventory based on daily demand, supplier lead time, and safety stock.
See what remains after product costs, shipping, and selling fees.
A quick explanation, practical example, and considerations to help you use your result.
Reorder point = average daily unit demand × supplier lead time in days + safety stock. Inventory position = on-hand stock + confirmed incoming units − backorders.
With average demand of 3 units per day, a 14-day supplier lead time, and 15 units of safety stock, the reorder point is 57 units.
These calculations are estimates for decision support, not accounting or financial advice. Use actual fees and costs, and account for taxes, returns, discounts, and other expenses separately when applicable.
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No. Results are estimates for decision support. Check actual fees, taxes, returns, and other costs.
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