08 Jul Business Alchemy 101 Lesson 20–Sales per Employee (Part Two)
Posted at 09:38h in Business Alchemy, Managerial Accounting, Ratios, Sales Ratios
This equation, similar to the Revenue per Square Foot equation, is quite simple.
NET REVENUE/# OF EMPLOYEES
So by using the methods discussed in the Understanding Ratios posts, we know that we want the Net Revenue to be the winner and that we are looking at the results from the point of view of the employees. So a higher number is better.
But what is a good number? We will discuss that in the next post.
Your business THRIVES on a solid FOUNDATION!!!