Formulae Flashcards
What is the Break-Even formula?
Break-Even = Fixed costs / Contribution
How do you calculate Contribution?
Selling Price - Variable Costs
How do you calculate Total Costs?
Fixed Costs + Variable Costs
How do you calculate Profit/Loss?
Sales Revenue - Total Costs
How do you calculate Net Cash Flow?
Total inflow - Total outflow
How do you calculate Sales Revenue?
Selling Price * Number of units sold
How do you calculate Net Pay?
Gross Pay - Deductions (e.g. tax, pension, natural insurance)
How do you calculate Closing Balance?
Opening Balance + Net Cash Flow
How would you calculate Margin of safety
Actual Quantity Sold - Break-Even Quantity
How would you calculate Gross Profit Margin
Gross Profit / Sales Revenue (multiply by 100 if you need a percentage)
How would you calculate Net Profit Margin
Net Profit / Sales Revenue (multiply by 100 if you need a percentage)
How would you calculate the amount of pounds you would receive in a foreign currency
Amount in Foreign currency = Amount in £ * Exchange rate
How would you calculate the amount of a foreign currency you would receive in pounds
Amount in £ = Amount in Foreign Currency / Exchange Rate
How would you calculate Labour Productivity
Total Output / Number of workers
