Question

Topic: Other

Retail Weeks Cover

Posted by anil on 250 Points
iF YOU HAVE A STOCKTURN OF 8 YOU CAN CALCULATE WEEKS COVER BY DIVIDING 52 WKS IN A FY/8=6.5 WKS COVER AND THEN YOU CAN CALCULATE SELL THROUGH % BY 100/WKS COVER =15.38.
mY QUESTION IS WHY DIVIDE "100".
aNY ONE KNOW THE EXPLANATION.

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RESPONSES

  • Posted by mgoodman on Moderator
    Where did you see that sell-through percentage = 100 / weeks-cover?
  • Posted by anil on Author
    This was taught to me many moons ago by a retailer that i worked for,please do the maths in works.
    Just cant remember why you divide by 100/6.5 wks=15.38 sell thru.so to get back to your stockturn of 8 you take sell thru multiplied by 52wks and divide by 100.So you see the calculation works.Just need the explanation
  • Posted by mgoodman on Accepted
    You divide BY 100 to turn the ratio into a percentage. You said you were dividing weeks-cover INTO 100.

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