Using an average weighted gasoline margin of .09 cents:

• One candy bar lost @ .43 cents our cost = your profit on 4.8 gallons gasoline.
• One bottle soda pop @ .65 cents our cost = your profit on 7.2 gallons gasoline.
• One road map @ $1.05 our cost = your profit on 11.7 gallons gasoline
• One pack cigarettes @ $4.00 our cost = your profit on 45.0 gallons gasoline.
• One pair sunglass @ $3.80 our cost = your profit on 42.2 gallons gasoline.

The High Cost Of Shrink

If you loose just one pack of cigarettes per day:

• @ $4.00 your cost x 30 days = $120.00 per month
• times 12 months = $1440.00 per year
• divided by .09 cents per gallon weighted margin
• = 16,000 additional gallons gasoline needed to break even!

By implementing vendor delivering policies, shift journal tape audits, cash controls, and shift check out procedures that require high shrink item unit counts, using cameras and other management tools like cash reconciliations, you will minimize inventory and  cash losses in your business.