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How to calculate Billable utilization

The Billable utilization formula, with plain worked examples you can check yourself.

Billable utilization = B ÷ T × 100

The result is a percentage (%).

Worked examples

B = 28 · T = 40Billable utilization = 70%
B = 26 · T = 40Billable utilization = 65%
B = 96 · T = 160Billable utilization = 60%

How to use it

  1. Write down the values for each letter in the formula.
  2. Do the brackets first, then divide or multiply.
  3. Multiply by 100 to show the answer as a percentage.
  4. Compare the answer with last period or with a competitor to see if it is good or bad.

This formula belongs to Business Models.

Related terms

FranchiseCompetitive moatCash cowFreemiumProduct-market fitSubscription model

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