all formulae Flashcards
(28 cards)
total variable cost
cost per unit x total number of units
total costs
fixed + variable costs
total profit
total rev - tot cost
market capitalisation
share price x number of shares issued
expected value of a decision with two possible outcomes (decision trees)
(pay off of A x probability of A) + (pay off of B x probability of B)
net gain (decision trees)
expected value - initial cost of investment
market growth (%)
change in market size / new market size x 100
market share (%)
total sales of company / total sales of market x 100
added value
sales revenue - cost of goods sold
labour productivity
output per period / no. of employees
unit costs (average costs)
total costs / total units produced
capacity utilisation
capacity used / capacity available x 100
return on investment (%)
operating profit / capital invested x 100
gross profit
sales revenue - cost of sales
net profit
operating profit - tax and interest
gross profit margin
gross profit / revenue x 100
net profit margin
net profit / revenue x 100
variance
budgeted - actual
contribution per unit
selling price per unit - variable cost per unit
break even output
fixed cost / contribution
margin of safety
actual output - break even level of output
labour turnover (%)
no. employees leaving / no. of employees x 100
employee retention rate (%) for a given period
total leaving / total employed x 100
employee costs as a percentage of turnover
labour costs / revenue x 100
