basic formulas Flashcards
1
Q
sales volume
A
total number of units sold over period of time
2
Q
sales revenue
A
number of units sold x unit price
3
Q
total variable costs
A
number of units sold x variable cost per unit
4
Q
total costs
A
fixed costs + variable costs
5
Q
gross profit
A
sales revenue - cost of sales
6
Q
operating profit
A
gross profit - expenses
7
Q
net profit
A
operating profit +/- finance costs
