To calculate the drop in sales (DS):
DS=(PS−CSPS)×100
Where:
A drop in sales is a measure of the percentage of decline in sales from one period to another. The percentage is a ratio of the change in sales to the previous sales revenue.
Let's assume the following values:
Using the formula:
DS=(500,000−400,000500,000)×100=20%
The drop in sales is 20%.
Let's assume the following values:
Using the formula:
DS=(1,000,000−750,0001,000,000)×100=25%
The drop in sales is 25%.