Exam 4 Cheat Sheet PDF

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Nicole Cox: exam 4 retail math cheat sheet...

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Retail Exam 4 Sales Increase Comparable and Overall Increase % = (TY - LY)/LY TY = LY * (1 + Inc)) LY = TY/ (1 + LY) Average Price Avg = Dollars/Units Dollars = Units Sold * Avg Price Units = Dollars/Avg Initial Margin IMU = (Retail – Cost)/Retail Cost = Retail * CC or Cost = Rtl * (1 - IMU) R = C/(1-IMU) Initial Margin Mix = Cost/CC or Rtl = Cost/ (1 – IMU) Cost Complement = 1 – IMU Markdowns MD% = MD$/Sales$ MD$ = Sales$ * MD% or Original Rtl – New Rtl Sales$ = MD$/MD% Rollback = [(Initial Retail – Initial Cost) * Unit sold) / (New Rtl- New cost)] Maintained Margin – Steps for Calculation Step 01: Find the initial margin and the cost complement Step 02: Convert the retail markdowns to cost markdowns (MD% * CC) Step 03: Subtract the cost markdowns from initial margin (IMU% - (MD% * CC) Method 1: MM$ * (Net Sales – COGS)  MM% = MM$/ Net Sales Method 2: MM% * (Initial Margin – Markdowns @ Cost)  MM$ = MM% * Net Sales Inventory Turns or Turn Turn at Retail = Annualized Sales/Average Rtl Inventory Turn at Cost = Annual COGS/ Avg Cost Inventory Turn at unit sales = Annual Units Sales/ Avg Unit Inventory Annualized Sales = Average Rtl Inv * Turn Avg Rtl Inv = Annualized Sales/Turn Turn = 52/WOH Method 1: WOH = 52/Turn Method 2: WOH = On Hand Retail Inventory/ Weekly $ Sales Shorter = (Monthly Sales/ Avg Monthly Inventory) * 12 ROI ROI = Annualized Gross Profit/Average Cost Inventory Annual Gross Profit = Avg Cost Inv * ROI Avg Cost Inv = Annual GP/ROI GMROII = (Turn/ CC) * MM% (Approximate Shortcut) Turn = (GMROI x CC)/MM% OTHER Net Sales = Gross Sales – Returns – Allowances – Discounts COGS = Beginning Inventory + Purchases – Ending Inventory Gross Profit = Sales – COGS Gross Margin = COGS – Shrink + Cash Discount...