Financial Ratios: 01. Revenue Ratios

Financial Ratios: 01. Revenue Ratios

Updated Apr 29, 2020

Productivity indicates a company is using its resources well. This is an area that should be examined closely when analyzing a company. Revenue ratios are a good metric of productivity and efficiency. Metrics may vary from company to company, but the mathematics are simple once you determine which ratios need to be analyzed. In this program, we'll look at four common revenue ratios: sales per customer, sales per employee, sales per cash register, and sales per unit of time.