Formula Flashcards

1
Q

market capitalisation

A

market capitalisation = current share price x no. ordinary shares issued

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

expected value

A

expected value = pay off x probability

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

net gain

A

net gain = expected value - costs

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

what must be done before calculating net gain?

A

add all expected values to get total expected value, and then minus costs

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

sales growth

A

sales growth = (sales in that year - sales in previous year / sales in previous year) x 100

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

market growth

A

market growth = (market size in that year - market size in previous year / market size in previous year) x 100

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

market share

A

market share = (sales of this product / total sales in market) x 100

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

market size

A

market size = (sales / market share) x 100

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

PED

A

PED = % change in quantity demanded / % change in price

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

YED

A

YED = % change in quantity demanded / % change in income

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

% change

A

% change = (new - original / original) x 100

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

labour productivity

A

labour productivity = output per time period / no. of employees

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

capacity utilisation

A

capacity utilisation = (actual output over period / maximum output over period) x 100

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

unit costs (average costs)

A

unit costs = total costs / total output

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

revenue

A

revenue = no. of sales x selling price

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

variable costs

A

variable costs = variable cost per unit x no. of sales

17
Q

total costs

A

total costs = fixed costs + total variable costs

18
Q

profit

A

profit = revenue - expenditure

19
Q

gross profit

A

gross profit = revenue - cost of sales

20
Q

operating profit

A

operating profit = gross profit - expenses

21
Q

net profit

(2 formulae)

A

net profit = operating profit - tax

net profit = total revenue - total costs

22
Q

net cash flow

A

net cash flow = total inflows - total outflows

23
Q

return on investment (ROI)

A

ROI = (profit of investment / cost of investment) x 100

24
Q

variance

A

variance = budget - actual figure

25
opening balance
opening balance = closing balance of previous period
26
closing balance
closing balance = opening balance - net cash flow
27
contribution
contribution = selling price - variable costs
28
break even
break even = fixed costs / contribution
29
margin of safety
margin of safety = actual sales - break even point
30
gross profit margin
gross profit margin = (gross profit / revenue) x 100
31
operating profit margin
operating profit margin = (operating profit / revenue) x 100
32
net profit margin (profit for year margin)
net profit margin = (net profit / revenue) x 100
33
labour turnover
labour turnover = (no. employees leaving over period / average employed over period) x 100
34
labour cost per unit
labour cost per unit = total labour costs / total units of output
35
employee costs as percentage of turnover
employee costs as % of turnover = (labour costs / turnover) x 100