EQUATIONS Flashcards
Equation for Breakeven points in Units?
Fixed Costs/Unit Contribution
Equation for Breakeven point in Revenue?
Breakeven point in units x Selling Price
Equation to work out Target Units?
Fixed Costs + Target Profit/Unit Contribution
How do you work out the Target Revenue?
Target Units x Selling Price
How do you work out the Margin of Safety in units?
Budget or Actual Sales - breakeven in units (sales volume)
What is the profit/volume or contribution/sales ratio?
unit contribution/unit price x 100
What is the equation to calculate the breakeven using c/s ratio?
Fixed costs + Target profit/Contribution to sales ratio
How do you work out the Variable cost per unit?
Difference in cost/Difference in activity
How do you work out OAR?
Budgeted costs/budgeted activity
What is Marginal costing?
Only uses variable costings
Difference in profit for Marginal and absorption costing
Inventory movement x OAR
What does SIAM mean?
Stock Increasing means Absorption will have More profit
How do you work out M.O.S in percent?
M.O.S in units/budgeted actual sales x 100
How to work out Trade receivables collection period?
Receivables / Sales x 365
How to work out Trade payables collection period?
Payables / Cost of Sales x 365
How do you work out inventory holding days.
Inventory/ cost of sales x 365
How do you work out Variance for Flexed Budgets?
Actual - Flexed
How do you work out Percentage of Variance?
Variance/Flexed
How to work out VLOOKUP?
Lookup_Value -
Table_array -
Col_Index_num -
Lookup_Value - First in column to match (Product code)
Table_array - Table to match with ($ around the Letters)
Col_Index_num - Number of column from Table array
When allocating what is insurance put as?
Carrying Value (Depreciation)
When allocating what is Facilities as?
Floorspace
How do you work out Total sales Revenue?
Fixed costs/C/S Ratio
How do you work out profit mark up in percentage?
Using the percentage format do Profit/Total costs
How to do Sumif?
Range,>350,Range again
How do you work out working capital cycle?
Inventory days + receivable days - payable days
When doing flexed budgets, what is the equation for Revenue?
Actual/Flexed
When doing flexed budgets, what is the equation for Expenses?
Flexed/Actual
How do you lock some cells on a protected sheet?
Format the cells
How do you work out Variances for flexed budgets in percentage?
Variance/Flexed x 100
How do you put Variances % in excel without a Variance column for Revenue?
(Actual-Flexed)/Flexed
How do you put Variances % in excel without a Variance column for Expenses?
(Flexed/Actual)/Flexed
