Term
| Fixed operations profit should be at what % or better |
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Definition
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Term
| People will do what you _____, not what you ____ |
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Definition
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| Learned technicians time is a _______ until closed |
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Definition
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Term
| What are the 4 contras on the financial statement? |
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Definition
| LIFO, Reserve for parts obsolecense, Allowance for doubtful accounts, Accumulated depreciation |
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Term
| Retained earnings can change 3 times |
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Definition
| End of year, When auditor makes a profit / loss adjustment |
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Term
| A GM should know the break even for every department |
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Definition
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Term
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Definition
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Term
| What is the net income to sales national average? |
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Definition
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Term
| New inventory should have ___ turns per year, Used inventory should have ___ turns per year |
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Definition
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Term
| If you can't close a customer in any department you should ____ the customer |
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Definition
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Term
| A good pay plan should have both... |
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Definition
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Term
| Your internal labor rate should be equal to your |
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Definition
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Term
| Your service advisor to technichian ratio should be |
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Definition
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Term
| How do you determine the number of hours your service department should be producing on a daily basis? |
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Definition
| add zero to your number of technicians |
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Term
| How do you make sure the service jobs are being done correct and prompt? |
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Definition
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Term
| What is the formula to determine your parts inventory days supply? |
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Definition
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Term
| What report shows you the discounts made by the service department? |
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Definition
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Term
| Should you always have special order prats paid in advance? |
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Definition
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Term
| How much does it cost the dealership per minute for technicians standing around? |
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Definition
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Term
| Chance of selling a part after 6 months is ___%. After 9 months is ___% |
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Definition
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Term
| What is the difference between true and gross parts turns? |
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Definition
| True is from stock inventory, gross is from everything else |
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Term
| What is the formula to calculate the effective labor rate for customer pay? |
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Definition
| Total customer pay labor sales $ / customer pay labor hours |
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Term
| The average parts counter man loses how many sales per day? |
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Definition
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Term
| For every hour of labor you shuold be selling how much in $ in parts? |
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Definition
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Term
| After three years your service customer retention percentage drops to ___ |
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Definition
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Term
| The lifetime value of a service customer is less than, equal to, or more than the front and back end gross of the vehicle sale. |
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Definition
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Term
| Service department should recondition vehicles in ___ days or less |
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Definition
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Term
| True turns should be ___ a year and gross turns should be ___ a year |
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Definition
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Term
| Should you request a warranty increase each year with factory? |
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Definition
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Term
| Gross return on sales for total dealership should be ___% or greater |
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Definition
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Term
| Net to sales should be ___% |
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Definition
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Term
| Parts manager must do a monthly ____ of parts and compare it to the ____ |
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Definition
| reconciliatio, general ledger |
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Term
| Having the right parts in stock will increase or decrease your profit? |
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Definition
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Term
| What side of the statement will deposits on a sold unit appear? |
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Definition
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Term
| What type of funding can you do in f&i to help cash flow? |
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Definition
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Term
| What are the 2 biggest ways to increase labor per hour for a tech? |
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Definition
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Term
| What are the only 2 ways to get fixed absoption up? |
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Definition
| Increase gross profit or reduce expenses |
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Term
| The average shopper visits how many dealerships before purchasing a vehicle? |
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Definition
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Term
| 1,000 guests. Average dealer closes 20%. That would be 200 sold, 800 unsold. Say you get 33% of the unsold list back. 33% of 800 people unsold = 240 back in. 67% of be backs will buy. 67% of 240 = 160. |
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Definition
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Term
| If days supply in inventory dollars is higher than in units, what does this mean? |
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Definition
| your inventory is more expensive than the typical units selling at cost. So you need to get cheaper inventory to match the demand. |
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Term
| How would you calculate the average cost of units in stock? |
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Definition
| Total vehicle inventory amount / units in stock |
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Term
| The average dealer only logs ___% of guests that come into the dealership |
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Definition
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Term
| How often should CIT schedules be reviewed? |
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Definition
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Term
| What is the formula to find out your average inventory cost |
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Definition
| New vehicle inventory / new units in stock |
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Term
| What is the manufacturer most concerned about on the financial statement? |
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Definition
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Term
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Definition
| Sell more at a smaller gross to turn inventory faster |
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Term
| What is the LIFO tax rate? |
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Definition
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Term
| How often should you re price used vehicles? |
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Definition
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Term
| CIT rules for funding ___ days prime and ___ days non prime |
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Definition
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