Shrinkage Formula
Equation for calculate shrinkage is,
Booked (Invoiced) Inventory = (SI + P) - (Sales + A)
S = BI - PCI
S(%) = (S / BI)
SI = Starting Inventory
BI = Booked Inventory
PCI = Physical Counted Inventory
A = Adjustments
P = Purchases
S = Shrinkage