• The benchmark formula

    The basic formula is (benchmark figure / turnover) x 100 = benchmark ratio percentage.

    Not all the benchmark ratios apply to every business. Check the benchmark specific to your business for the benchmark ratio you will need to calculate.

    Next step:

    Cost of sales to turnover ratio

    To calculate cost of sales to turnover ratio, divide cost of sales by turnover and multiply by 100.

    (Cost of sales / turnover) x 100 = cost of sales/turnover ratio

     

     

    Sample figures

    Cost of sales
    Turnover
    Cost of sales / turnover ratio

     
    /
    x
    =

    $137,983
    $456,790
    100
    30.21%

    See also:

    Last modified: 24 Feb 2016QC 47937