any equations for theme 1 Flashcards
1
Q
revenue
A
selling price x quantity sold
2
Q
total costs
A
fixed costs + variable costs
3
Q
profit
A
total revenue - total costs
4
Q
gross profit
A
revenue - cost of goods sold
5
Q
net profit
A
gross profit - all other expenses
6
Q
interest
A
total repayment - borrowed amount / borrowed amount x 100
7
Q
breakeven
A
fixed cost/ (selling price - variable costs)
8
Q
contribution
A
selling price - variable costs
9
Q
margin of safety
A
actual cost - break even
10
Q
percentage change increase
A
difference(as in new-old/ original x 100
11
Q
percentage change decrease
A
old - new/old x 100
12
Q
net cash flow
A
cash inflows - cash outflows
13
Q
closing balance
A
opening balance + net cash flow
14
Q
opening balance
A
always the last months closing balance or the last closing balance
