Description
Preserve a supplied observed-sales count and stockout censoring flag.
Business metrics depend on event definitions, time windows, revenue and cost bases, and reporting scope. Observed sales during stockout do not by themselves verify latent demand, while a return contribution depends on which costs were already recognized. Local flags and signed balances are not a complete profitability or causal analysis.
Preserve a supplied observed-sales count and stockout censoring flag.
When to use this tool
Use Stock Out Day Censored Demand Flag when you already have stockoutOccurred, observedSales and need to preserve a supplied observed-sales count and stockout censoring flag.
How to use the tool and how it works
- Enter stockoutOccurred, observedSales. Use the units and conventions below.
- Run the tool. Correct any format, range, or cross-field input error before interpreting the output.
- Read demandCensored, observedLowerBound. Inspect demandCensored before interpreting the associated values.
Require observedSales a nonnegative safe integer; return it as observedLowerBound and stockoutOccurred as demandCensored.1
| Input field | Meaning and units | Accepted input |
|---|---|---|
| stockoutOccurred | Stockout Occurred | Required. Boolean. |
| observedSales | Observed Sales | Required. Safe integer; minimum 0. |
| Output field | Interpretation | Returned shape |
|---|---|---|
| demandCensored | Demand Censored | Required. Boolean. |
| observedLowerBound | Supplied observedSales copied as a named lower-bound field; latent demand is not verified. | Required. Safe integer. |
{
"input": {
"stockoutOccurred": true,
"observedSales": 12
},
"output": {
"demandCensored": true,
"observedLowerBound": 12
}
}Limitations and assumptions
- The label does not estimate lost demand or verify that recorded sales form a valid demand bound. Stockout, returns, timing and demand assumptions are supplied.
- Inputs must satisfy both the field types and the cross-field conditions above. Invalid input causes an error; a successful false flag or documented placeholder is a different result.
- Numeric calculations use binary floating point unless exact decimal-integer arithmetic is explicitly stated. No hidden measurement tolerance or decimal rounding is added; nonfinite or out-of-contract results are rejected. Numeric signed-zero results are exported as zero.
Alternative or Complementary methods
Reconcile source transactions, inventory and cohort records with the full metric definitions. Use complete forecasts, accounting and study designs where needed; individual contributions and supplied scenarios do not establish performance or causal effects.
References
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