Business Calculations Flashcards
1
Q
Percent markup
A
Profit ÷ (cost × 100)
2
Q
Markup
A
Selling price - cost
3
Q
Net profit
A
Amount of money left over after all expenses are paid.
4
Q
ITOR (inventory turnover rate)
A
COGS ÷ average annual inventory
5
Q
COGS
A
Cost of goods sold. Amount pharmacy paid for the goods sold to the customer
6
Q
Average inventory
A
(Initial inventory + ending inventory) ÷ 2
7
Q
Overhead
A
Total cost of running a business.
