All Formulas

Question 1

What is the formula for total costs?

Answer 1

Total costs= Total fixed costs + total variable costs

Question 2

What is the formula for break even?

Answer 2

Break even (units) = fixed costs/ (sales price - variable costs

Break even (costs) = break even units * sales price

Question 3

What is the formula for the margin of safety?

Answer 3

Margin of safety = actual sales - break even sales

Question 4

What is the formula for the interest on loans?

Answer 4

Interest (loans) =total repayment - borrowed amount / borrowed amount *100

Question 5

What is the formula for the net cash flow?

Answer 5

Net cash flow= cash inflow - cash outflow

Question 6

What is the formula for the opening balance?

Answer 6

Opening balance = closing balance of previous period

Question 7

What is the formula for the closing balance?

Answer 7

Closing balance = opening balance + net cash flow

Question 8

What is the formula for the gross profit?

Answer 8

Gross profit =sales revenue - cost of sales

Question 9

What is the formula for the gross profit margin?

Answer 9

Gross profit margin (%) = gross profit / sales revenue * 100

Question 10

What is the formula for the net profit?

Answer 10

Net profit = gross profit - other operating costs

Question 11

What is the formula for the net profit margin?

Answer 11

Net profit margin = net profit / sales revenue *100

Question 12

What is the formula for the average rate of return?

Answer 12

Average rate of return(%) = average annual profit / cost of investment *100