Income Statement
.	Typical Lumber Outlet	High Profit Lumber Outlet	Your Data (in Dollars)	Your Lumber Outlet
Net Sales
Total Net Sales	100.0%	100.0%	$	%
Cost of Goods Sold	74.4%	79.2%	$	%
Gross Margin Before Rebates or Dividends	25.6%	20.8%	$	%
Purchase Rebates or Patronage Dividends	0.6%	2.4%	$	%
Gross Margin After Rebates or Dividends	26.2%	23.2%	$	%
Payroll Expenses
Owners/Officers Salaries & Bonuses	1.2%	1.1%	$	%
All Other Employee Salaries, Wages & Bonuses	10.3%	9.1%	$	%
Total Salaries, Wages & Bonuses	11.5%	10.2%	$	%
Payroll Taxes, FICA, Workers’ Comp. & Unemp.	1.8%	0.9%	$	%
Group Insurance (Hospital, Medical, etc.)	1.8%	1.7%	$	%
Benefit Plans (Pension, Profit Sharing, etc.)	0.4%	0.4%	$	%
Total Payroll Expenses	15.5%	13.2%	$	%
Occupancy Expenses
Utilities: Heat, Light, Power, Water	0.5%	0.2%	$	%
Building Repairs & Maintenance	0.2%	0.2%	$	%
Rent or Ownership in Real Estate	0.8%	0.9%	$	%
Total Occupancy Expenses	1.5%	1.3%	$	%
Other Operating Expenses
Advertising & Promotion	0.5%	0.6%	$	%
Vehicle Expense	1.8%	1.6%	$	%
Telephone	0.2%	0.2%	$	%
Insurance (Business Liability & Casualty)	0.9%	0.3%	$	%
Interest Expense	0.4%	0.2%	$	%
Taxes	0.4%	0.1%	$	%
Depreciation	0.8%	0.8%	$	%
Bad Debt Losses	0.1%	0.1%	$	%
All Other Operating Expenses	2.3%	1.6%	$	%
Total Other Operating Expenses	7.5%	5.6%	$	%
Total Operating Expenses	24.5%	20.1%	$	%
Operating Profit	1.8%	3.0%	$	%
Other Income/Expenses	0.4%	0.4%	$	%
Profit Before Taxes	2.2%	3.4%	$	%

Balance Sheet
.	Typical Lumber Outlet	High Profit Lumber Outlet	Your Data in Dollars	Your Lumber Outlet
Assets
Cash	4.0%	10.1%	$	%
Accounts Receivable	29.2%	23.3%	$	%
Inventory	44.3%	47.2%	$	%
Other Current Assets	3.0%	4.5%	$	%
Total Current Assets	80.5%	85.1%	$	%
Investments (stocks, bonds, etc.)	2.0%	3.4%	$	%
Total Fixed & Noncurrent Assets	17.5%	11.5%	$	%
Total Assets	100%	100%	$	%
Liabilities and Net Worth
Accounts Payable	11.0%	12.1%	$	%
Other Current Liabilities	11.9%	15.9%	$	%
Total Current Liabilities	22.9%	28.0%	$	%
Long Term Liabilities	17.8%	9.6%	$	%
Net Worth or Owner Equity	59.3%	62.4%	$	%
Total Liabilities + Net Worth	100%	100%	$	%

Financial Ratios
.	Typical Lumber Outlet	High Profit Lumber Outlet	Your Lumber Outlet
Current Ratio	3.5	3.0
Quick Ratio	1.4	1.2
Accounts Payable to Inventory	24.8%	25.5%	%
Accounts Payable Payout Period (days)	22.3 days	41.5 days	days
Debt to Equity	0.7	0.6
EBIT to Total Assets	7.2%	16.5%	%
Times Interest Earned	6.6	16.4

Return On Investment: The Strategic Profit Model Ratios
.	Typical Lumber Outlet	High Profit Lumber Outlet	Your Lumber Outlet
Profit Margin (Pre-tax)	1.7%	9.2%	%
Asset Turnover	2.2	1.9
Return on Assets (Pre-tax)	3.7%	17.4%	%
Financial Leverage	2.4	1.5
Return on Net Worth (Pre-tax)	8.8%	25.5%	%