Labour
Cost to Sales = (salaries, wages and benefits) / sales
This
ratio indicates the extent to which labour costs must be
absorbed into sales prices.
The labour costs to sales ratio is included in the financial
statement ratio analysis spreadsheets highlighted in the
left column, which provide formulas, definitions,
calculation, charts and explanations of each ratio.
The labour costs to sales ratio is listed in our labour
ratios.
| The labor costs to
sales ratio and other ratios are key
to understanding financial statements. Our
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See list
of ratios , or the financial statement ratio
analysis spreadsheets which are not highlighted in the
left column, to see which other ratios are calculated
and explained in our spreadsheets.
The labor costs to sales
ratio may be included in our
custom 1, 3 or 5 period financial
statement ratio analysis spreadsheet.
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