Inventory Performance, Cost and Value Measures

• Inventory Value Added™ is one of RightChain’s proprietary inventory performance measures. Like GMROI, it takes into account revenue, expense and capital charges. • Inventory Value Added™ = Revenue – Expense – Inventory Carrying Cost = Margin – Inventory Carrying Cost = [ AD x (USP – UIV)] – (AIV x ICR)

Inventory Value Added

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