How do you Calculate the cost of labor-to-sales ratio from the numbers below Profit & loss account 2019 Sales $ 618,603,629 Purchasing costs $ 397,925,058 Material costs $ 217,667,630 Services $ 167,622,858 Use of assets owned by other $ 12,634,569 Costs of employees $ 96,805,799 Depreciation & Amortization $ 27,586,951 Other operating items $ 67,196,537 Variation of Raw Material $ (1,543,807) Operating P/L [=EBIT] $ 29,089,285 P/L for period [=Net income] $ 19,331,064 Calculate the purchase-to-sales ratio Calculate the cost of labor-to-sales ratio Justify your calculations Comment about the value obtained: is in line with what you were expecting, considering the benchmark seen in class?

Survey of Accounting (Accounting I)
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Chapter11: Cost-volume-profit Analysis
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Problem 4CDQ: How would each of the following costs be classified if units produced is the activity base? a....
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 How do you Calculate the cost of labor-to-sales
ratio from the numbers below

Profit & loss account 2019

Sales $ 618,603,629

Purchasing costs $ 397,925,058
Material costs $ 217,667,630
Services $ 167,622,858
Use of assets owned by other $ 12,634,569

Costs of employees $ 96,805,799

Depreciation & Amortization $ 27,586,951

Other operating items $ 67,196,537
Variation of Raw Material $ (1,543,807)

Operating P/L [=EBIT] $ 29,089,285

P/L for period [=Net income] $ 19,331,064
Calculate the purchase-to-sales
ratio
Calculate the cost of labor-to-sales
ratio
Justify your calculations
Comment about the value obtained: is in line
with what you were expecting, considering
the benchmark seen in class?

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