All Flashcards
Expected value of a decision with two outcomes
(Pay off of A X probability of A)
+
(Pay off of B X probability of B)
Inventory turnover
Cost of sales / av inventories held
Labour productivity
Output over time period/ number of employees
Profit for the year
Operating profit + profit from other activities - net finance costs - tax
Market growth %
Change in size of the market/original size of market
X100
Market capitalisation
Number of shares issued X current share price
Operating profit
Gross profit - operating expenses
Profit for the year margin
Profit for the year / revenue
X100
Receivable days
Receivables / revenue
X365
Contribution pre unit
Selling price - variable cost per unit
Labour turnover
Number of staff leaving / number of staff employed
X100
Market share %
Sales of one product or business/total sales in the market
X100
Capacity utilisation
Actual output / max possible output
X 100
Variance
Budgeted figure - actual figure
Current ratio
Current assets / current liabilities
Margin of safety
Actual level of output - break even level of output
Total Variable costs
Variable cost per unit X number of units sold
Gearing
Non current liabilities / capital employed
X100
Operating profit margin
Operating profit / revenue
X100
Revenue
Selling price X number of units sold
Break even output
Fixed costs / contribution per unit
Gross profit
Revenue - costs of sale
Return on capital employed
Operating profit / capital employed
X100
Total contribution (2 ways)
Contribution per unit X units sold
Or
Total revenue - total variable costs
Total costs
Fixed costs + variable costs
Employee retention rate
Number of employees who remained for the whole period / number of employees at the start of the period
X100
Capital employed
Total equity + non current liabilities
Labour cost per unit
Labour costs / units of output
Payable days
Payables / cost of sales
X365
Added value
Sales revenue - costs of brought in goods and services
Net gain
Expected value - initial cost of decision
Return on investment
Profit from investment / cost of investment
X100
Profit
Total revenue - total costs
Average rate of return
Average annual return / initial cost of project
X100
Gross profit margin
Gross profit / revenue
X100
Employee costs as percentage of turnover
Employee costs / turnover
X100
Unit costs (average costs)
Total costs / number of units of output
