So far we have read about financial ratios but in a uniform costing we use numerous cost accounting related ratios. These ratios require the sharing of extensive data among member undertakings. Though, it is difficult to find data from your competitors but in some industry, member undertakings share data with each other for mutual benefit & for a healty competition.
Following are the most common cost ratios used in the industry:
1. Works Cost ratio
2. Overhead ratio
3. Marketing ratio
4. Prime cost ratio
5. Admin overhead ratio
6. Direct material ratio
7. Direct labour ratio