Per Dollar of Sales parts on Labor

(Parts To Labor Ratio)

Computations

Fixed Operations

 

 

 

Parts Sales on Repair Order / Customer Labor Sales = Parts Sales Per Dollar of Customer Labor Sales.

 

This calculates the ratio of parts sales on customer repair orders to customer labor sales on repair orders, or the Parts to Labor Ratio.

 

Example:

 

Parts Sales on Repair Order

$225,000

Divided by:

/

Customer Labor Sales

$300,000

Parts Sales Per Dollar of Customer Labor Sales

75%