It Is Not Uncommon for Salespeople to Find That 20

question 94

Short Answer

It is not uncommon for salespeople to find that 20% of their customers generate __% of their sales potential.

---

Definitions:

Margin Of Safety

The difference between actual sales and the break-even point, indicating the extent to which sales can drop before the company incurs a loss.

Fixed Expenses

Costs that do not fluctuate with the level of production or sales volume, such as rent and salaries.

Annual Profit

The net income a company earns over a fiscal year, after subtracting all expenses, taxes, and costs from total revenue.

Contribution Margin Ratio

The percentage of each sales dollar remaining after deducting variable costs, used to cover fixed costs and profit.