Formulas Flashcards by IAMASTUPIDKAT Unknown | Brainscape

Q

What is the formula for “revenue”?

A

Number of sales X sales price

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Q

What is the formula for “total costs”?

A

Fixed costs + variable costs

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Q

What is the formula for “net cash flow”?

A

Cash inflows - cash outflows

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Q

What is the formula for “contribution per unit”?

A

Selling price per item - variable costs

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Q

What is the formula for “total contribution”?

A

Total revenue - total variable costs

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Q

What is the formula for “gross profit margin”?

A

(Gross profit / sales revenue) X 100

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Q

What is the formula for “profit for the year margin”?

A

(Profit for the year / sales revenue) X 100

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Q

What is the formula for “operating profit margin”?

A

(Operating profit / sales revenue) X 100

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Q

What is the formula for “operating profit”?

A

Gross profit - expenses

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Q

What is the formula for “net profit”?

A

Total revenue - total costs

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Q

What is the formula for “gross profit”?

A

Revenue - cost of sales

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Q

What is the formula for “current ratio”?

A

Current assets / current liabilities

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Q

What is the formula for “acid test ratio”?

A

(Current assets - stocks) / current liabilities

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