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IC224 - Gross Margin Return on Investment
**Form Purpose
Run Gross Margin Return on Investment (IC224) to print a report of the gross
margin return on investment (GMROI) percentage for items in descending order.
GMROI is based on item sales history updated to the Inventory Control
application. Item sales history is updated using the Order Entry application
or an interface file created by an outside source.
Note Summarized inventory history does not include sales prices for
make-to-order kit components. This report is invalid for these items.
**Processing Effect
Calculations used by this form are listed below.
Gross Margin = (Total Sales Price - Total Sales Cost)/Total Sales Price.
Average Inventory = (Sum of ending inventory quantity for periods in the
range selected)/(Number of periods included in the range selected).
Turnover Rate = (Sales quantity for the last 12 months)/(Average inventory).
Gross Margin Return on Investment = (Gross Margin Turnover Rate)/(1 - Gross
Margin).
This program requires you to enter the period and year range for which to
calculate GMROI. For example, enter
1 1993 - 4 1993
to calculate GMROI for the first four periods in 1993. You choose the items
printed on this report by location, report group, and/or sales class. You can
also include items set up as inactive in the Item Master file (IC11.1).
Updated Files
CKPOINT -
Referenced Files
GLADDRESS - Used in a General Ledger common routine.
GLCHART - This file contains chart and system account information in the
General Ledger system.
GLCODES - Used in a General Ledger common routine.
GLSYSTEM - Used in a General Ledger common routine.
ICBIN - Used to obtain bin number information.
ICCOMPANY - Used to validate the existence of the company number.
ICHISTORY - Used to extract the cost, sales, and average inventory figures.
ICLOCATION - Used to print the location description.
ICRPTGRP - Used to validate the report group.
ITEMLOC - Used to print the movement class for each item.
ITEMMAST - Used to print the item descriptions.
INVOKED Programs
IFSG
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