Comparing on a per truck basis

By converting the financial to a per truck basis, the financials now become equivalent. For example, the per truck basis could be a conversion of 2 ½ small trucks to one big one.

This Per Truck Basis financial allows a comparison of each factory in relationship to others. The company knows that the factories are profitable but is unable to compare whether one factory is more profitable than another or how the factories compare to the industry standard. In addition, it becomes easier to determine the proper allocation of shared services from the corporate office because the allocation is based on the per truck financials.