Assessing Performance of the company

Seven ratios and twelve trends developed by Lord Weinstock , practised by many boards of directors

Ratios

  1. Sales in terms of each pound of emoluments
  2. Dales divided by number of staff
  3. sales divided by capital employed
  4. sales in relation to debtors
  5. sales in terms of actual number of units sold
  6. profits in terms of voulme of sales
  7. profts divided by capital employed

Trend lines

  1. Capital invested
  2. orders in hand
  3. orders received
  4. number of employees
  5. number of direct and indirect staff
  6. wages(direct)
  7. avg hourly wages per worker ( direct)
  8. DEPTORS ( TRADE)
  9. export sales out of total sales
  10. profits net
  11. level of stocks
  12. expenditure

These are commonly used in corporations

 
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