How to calculate the turnover of retail trade

Think, for what period you need to calculate the company's turnover.It can be a quarter, month, six months, a year or several years. In fact, the company can take any, as long as it can be aligned with other indicators that you have on the timeline. Basically takes a time period equal to one year.

Output the number of sales occurring during the calculation period. Next, you need to calculate all the revenue that was obtained during the study period. To do this, fold the monetary value of all products sold during the reporting period.

Calculate the sum of all costs committed during the reporting period that you chose. Count the amount of all obligations and costs incurred by your company during the period under review for all types of goods that were sold. Summarize the values from sales.

Divide the value obtained by the number which is obtained by summing costs. At the same time, the higher will the result of this calculation, the more profitable your company, the better directed use of the assets available. After the increase in the amount of turnover increases profits.

Use the classic system calculations for more detailed calculations. To do this, subtract the estimated annual (monthly or quarterly) turnover the amount of funds required for the procurement of goods for this period. In turn, don't forget to include in the list of regular expenses like paying staff salaries, costs of transportation, rent of premises, insurance, communications (telephone, Fax, Internet), depreciation and repair of existing equipment, legal advice, taxes. The resulting total value in the result produced by the basic deductions and is the income.