ALL FORMULAS FOR UNIT 2 BUSINESS Flashcards

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1
Q

Contribution per unit

A

Selling Price Per Unit - Variable Cost Per Unit

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2
Q

Total contribution

A

Total Revenue - Total Variable Costs

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3
Q

Profit

A

total contribution - fixed cost

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4
Q

Profit at particular level of output

A

total sales - total costs

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5
Q

Loss at a particular level of output

A

(Output x selling price) - (fixed costs + output * variable cost per unit)

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6
Q

Net cash flow

A

Total Inflows - Total Outflows

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7
Q

Loss level at a particular level of output

A

Revenue - total costs

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8
Q

Time Series Analysis

A

Moving average using past data / period of time

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9
Q

Percentage Change

A

(New-Old / Original) * 100

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10
Q

Sales Revenue

A

Number of Units Sold * Selling Price per Unit

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11
Q

Total Costs

A

Fixed Costs + Variable Costs

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12
Q

Average Cost

A

(Total Costs / Output)

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13
Q

Profit

A

Total Revenue - Total Costs

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14
Q

Gross profit

A

Sales - Cost of Sales

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15
Q

Operating Profit

A

Gross profit - Operating Expenses

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16
Q

Profit for the year (Net Profit)

A

Operating Profit - Interest + Exceptional Costs

17
Q

Gross profit Margin

A

(Gross profit / Revenue) * 100

18
Q

Operating Profit Margin

A

(Operating Profit / Revenue) * 100

19
Q

Profit for the year (Net Profit) Margin

A

((Net Profit After Tax) / Revenue) * 100

20
Q

Current Ratio

A

Current Assets / Current Liabilities

21
Q

Acid Test Ratio

A

(Current Assets - Inventory) / Current Liabilities

22
Q

Working Capital

A

Current Assets - Current Liabilities

23
Q

Net Assets

A

Total Assets - Total Liabilities

24
Q

Labour Productivity

A

Output (Per Time Period) / Number of Employees Involved Per Time Period

25
Q

Capital Productivity

A

Output / Capital Employed

26
Q

Average Cost

A

Total Costs / Output

27
Q

Capacity Utilisation

A

(Current Output / Maximum level of Output) * 100