FORMULAS Flashcards
how do you work out percentage change
new - old / old x100
profit
total revenue- total costs
revenue
sppu x output
total variable costs
vcpu x output
total costs
tvc + fc
net cash flow
inflows- outflows
opening balance
closing balance from previous month
closing balance
opening balance+ net cash flow
capacity utilisation
current output / maximum output x100
break even output
fixed cost/ cpu (contribution per unit)
total contribution
cpu ( sppu- vcpu) x output
margin of safety
actual output- break even output
variance
difference between budgeting and actual figures
- adverse or favourable
- adverse- bad for business eg. costs higher than budgeted
- favourable- good for business eg. profit higher than budgeted
gross profit margin
gross profit/ revenue x100
operating profit margin
operating profit / revenue x100
net profit margin
net profit / revenue x100
gross profit
revenue - cost of sales
operating profit
gross profit - fixed overheads
net profit
operating profit - tax
current ratio
current assets/ current liabilities
acid test ratio
current assets- stock / current liabilities
productivity
output / number of workers
