Formulae Flashcards
1
Q
how to calculate profit
A
profit = total revenue - total costs
2
Q
how to calculate unit contribution
A
selling price – variable/direct costs
3
Q
calculate break even point
A
fixed costs divided by unit contribution.
4
Q
formula for aggregate demand?
A
AD = C + I + G + (X - M)
5
Q
formulae for cost of good sold?
A
opening stock + purchases - closing stock
6
Q
trading account formula? (1)
A
gross profit = salves revenue – costs of goods sold
7
Q
profit and loss account formula? (2)
A
net profit = gross profit – expenses and overheads
