formulas Flashcards

1
Q

sales revenue formula

A

sales x price

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2
Q

gross profit formula

A

revenue - cost of sales

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3
Q

operating profit

A

gross profit - expenses (admin, salaries, rent)

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4
Q

net profit

A

operating profit - tax

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5
Q

gross profit margin

A

gross profit/sales revenue x 100

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6
Q

operating profit margin

A

operating profit/revenue x 100

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7
Q

net profit margin

A

net profit/revenue x 100

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8
Q

net cash flow

A

cash inflows-cash outflows

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9
Q

opening balance

A

=closing balance from last month

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10
Q

closing balance

A

opening balance + net cash flow

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