business formulas theme 2 Flashcards
1
Q
net cash flow
A
cash inflows- cash outflows
2
Q
closing balance
A
opening balance + net cash flow
3
Q
sales volume
A
sales revenue / selling price per unit
4
Q
sales revenue
A
quantity sold x selling price per unit
5
Q
total costs
A
fixed costs + total variable costs
6
Q
fixed costs
A
total costs - total variable costs
7
Q
total variable costs
A
total costs - fixed costs
8
Q
contribution per unit
A
selling price - variable costs per unit
9
Q
break even point
A
fixed costs / contribution per unit
10
Q
margin of safety
A
actual output - break even level of output x 100
11
Q
variance analysis
A
budgeted - actual amount
12
Q
gross profit
A
sales revenue - cost of sales
13
Q
cost of sales
A
opening stock + purchases - closing stock
14
Q
operating profit
A
gross profit - expenses
15
Q
profit for the year
A
operating profit - interest and tax
