What is Retail Inventory

Prime objective of this article is to describe what is Retail Inventory. Inventory management can be a science primarily about specifying the contour and percentage involving stocked goods. It truly is required at different locations just a facility or within many locations of any supply network to precede the standard and planned course of production and share of materials. Retail Inventory value estimation method using the relationship between cost and retail value. It entails most of these steps: 1st, maintaining detailed record of most purchases and on-hand items at both cost price and retail store price, 2nd: computing a cost-to-retail portion (Formula: Cost value x 100 ÷ List price), and 3rd: estimating ending-inventory in retail prices through subtracting the retail store price of goods sold from the retail price involving goods in catalog.