how to calculate return on revenue
The return-on-sales ratio equals net income divided by revenue, times 100. If your small business has a net loss for the period, the ratio will be negative.Using the figures from the previous example, your return-on-sales ratio would equal 20 percent, or $100,000 in net income divided by $500,000 in revenue, times 100.he return-on-sales ratio equals net income divided by revenue, times 100. If your small business has a net loss for the period, the ratio will be negative.