Your store’s average basket (transaction) size for the month of March was $11.50 and you believe the average basket size will remain the same for your store in April. One of your hourly employees had an average basket size of $9.00 for the month of March and averaged 125 transactions per shift. If the same employee’s average basket size was $9.00 for the first two weeks of April but improved to $11.00 for the second two weeks of April, her sales will now be how much lower than the average for your store?
9000
assuming a constant volume of transactions, expected sales:
11.50*125*30 = 43125.00
employee sales for April:
9.00*125*15 + 11.50*125*15 = 38437.5
43125.00 - 38437.50 = 4687.50
10x125=1250x4=5000
To find out how much lower the employee's sales will be compared to the store's average, we need to calculate the total sales for both the employee and the store.
First, let's calculate the employee's sales for the month of March.
Average basket size for the month of March = $9.00
Number of transactions per shift = 125
Total transactions for the month of March = Number of transactions per shift * Number of shifts in March
Since there are usually around 20 shifts per month, the total transactions for March would be:
Total transactions for March = 125 * 20 = 2500
Total sales for the employee in March = Average basket size * Total transactions for March
Total sales for the employee in March = $9.00 * 2500 = $22,500
Now, let's calculate the employee's sales for April.
Average basket size for the first two weeks of April = $9.00
Number of transactions per shift for the first two weeks of April = 125
Number of shifts in two weeks = 10 (assuming 5 shifts per week)
Total transactions for the first two weeks of April = Number of transactions per shift * Number of shifts in two weeks
Total transactions for the first two weeks of April = 125 * 10 = 1250
Total sales for the first two weeks of April = Average basket size * Total transactions for the first two weeks of April
Total sales for the first two weeks of April = $9.00 * 1250 = $11,250
Average basket size for the second two weeks of April = $11.00
Number of transactions per shift for the second two weeks of April = 125
Number of shifts in two weeks = 10
Total transactions for the second two weeks of April = Number of transactions per shift * Number of shifts in two weeks
Total transactions for the second two weeks of April = 125 * 10 = 1250
Total sales for the second two weeks of April = Average basket size * Total transactions for the second two weeks of April
Total sales for the second two weeks of April = $11.00 * 1250 = $13,750
Total sales for the employee in April = Total sales for the first two weeks of April + Total sales for the second two weeks of April
Total sales for the employee in April = $11,250 + $13,750 = $25,000
Now, let's calculate the store's average sales for the month of April.
Average basket size for the month of April (assumed to be the same as March) = $11.50
Number of transactions for the month of April (assuming 20 shifts per month) = Number of transactions per shift * Number of shifts in April
Total transactions for April = 125 * 20 = 2500
Total sales for the store in April = Average basket size * Total transactions for April
Total sales for the store in April = $11.50 * 2500 = $28,750
Finally, we can calculate the difference between the employee's sales for April and the store's average sales for April:
Difference = Total sales for the store in April - Total sales for the employee in April
Difference = $28,750 - $25,000
Difference = $3,750
Therefore, the employee's sales will be $3,750 lower than the average for the store in April.