Formulas Flashcards
1
Q
Average cost
A
Total cost of producing this product / number of units produced
2
Q
Break -even level of output
A
Fixed costs/ contribution per unit
3
Q
Capacity utilize sation
A
Current output level / maximum output level X 100
4
Q
Closing cash balance
A
Opening cash balance + [cash inflow- cash outflow
5
Q
Labor productivity
A
Total output in a give time period / total workers employed
6
Q
Margin of safety
A
Break even level of output - current output level
7
Q
Market capitalization
A
Current share price x total number of shares issued
8
Q
Production over break ever point
A
Margin of safety/ break ever output
9
Q
Revenue
A
Selling price x quantity sold
10
Q
Total contribution
A
Unit contribution x output
11
Q
Unit contribution
A
Price of unit- direct cost of unit
12
Q
Working capital
A
Current assets- current liabilities
