Formulas Flashcards
Percent change in productivity
[(New Productivity - Old Productivity)/Old Productivity] * 100
Productivity =
Output / Input
Labor Productivity =
Quantity / Labor Hours or Value of Units Produced / Labor Cost
Capacity Utilization =
Actual Output / Design Capacity
Efficiency Rate =
Actual Output / Effective Capacity
Total Cost (TC) =
(VC) X + FC
(Variable Cost per unit)(Number of units produced) + Fixed Cost
Profit =
Total Revenue (TR) – Total Costs (TC).
Total Revenue (TR) =
(Number of units produced)(Price per unit)
(X)(P)
Quantity to breakeven
(Price per unit)(Number of units produced)
(P)(X) =
Fixed cost + Variable Cost per unit (Number of unis produced)
FC + VC(X)
Quantity to produce to cover total cost
(Price per unit)(Quantity)
(P)(Q) =
Fixed cost + Variable cost per unit (Quantity to produce)
FC + VC(Q)
Simple Moving Average =
Sum of units for each time period / the number of time periods
Weighted Moving Average =
Total number of units for the time period x the assigned weight for the time period
Run-out time =
current inventory/usage rate
Average Inventory =
Quantity/ 2
Q/2
Cycle time =
working time per day/units required per day
