What is the break-even point? The point in business where the sales equal the expenses. There is no profit and no loss.
An important tool in analyzing your sales and inventory is GMROI (also known as GMROII) which stands for Gross Margin Return On Inventory Investment. The GMROI calculations assist buyers in evaluating whether a sufficient gross margin is being earned by the products purchased, compared to the investment in inventory required to generate those gross margin dollars.
Calculate Inventory Turnover
Measuring inventory turn is the first step in building an inventory plan which eliminates unnecessary inventory and frees up cash. Here is how we calculate inventory turns to help create a proper inventory control.
Retail Math Formulas
Use these retail math formulas to track merchandise, measure sales performance and help create pricing strategies. Formulas for calculating markup, gross margin, open to buy and other retail math equations.
Calculator: Markup & Markdown
Calculator: Sales Increase & Decrease Precentage
Do you need to know how much retail sales were up or down compared to last year's sales figures? Just plug in the two sales amounts in the calculator below to determine the percent increase or decrease in sales.
Measuring Retail Performance and Productivity
Your shop has customers steadily coming through the doors, employees are busy and there is the frequent 'cha-ching' of the cash register, but how well is your business really doing? Use these retail math formulas and calculations based on sales to determine your store's performance and productivity.
Open-To-Buy Planning: Controlling Your Inventory
Good inventory control is critical to ensuring an adequate level of stock is on hand for the amount of sales being generated. A retailer can be sure to stock the right amount of the right products at the right time by using an Open-To-Buy (OTB) plan.
Retail Math: Using Percents
The longer a person is out of school, the easier it is to forget how to use percents and other basic business math formulas. Computer programs, cash registers and automated point-of-sale systems can easily complete the calculations; however there will be moments when retailers will need to process the numbers manually.
Startup Costs Calculator
Ratios and Formulas in Customer Financial Analysis
A variety of ratios and formulas including ratio analysis, the analysis of relationships between two or more line items on the financial statement.
Retail Margin And Markup Table
These formulas and table will help a retailer convert the different methods of arriving at a retail price, using the multiplier on cost to achieve the desired margin.
Retail Math Equations
The Apparel Search Company has compiled a list of retail formulas for calculating cost of goods sold, stock sales ratio, shrinkage and even a breakeven analysis.
Retail Sales Calculator