Formulas Flashcards
What is the formula for total costs
Total costs = Fixed Costs + Variable costs
What is the formula for sales revenue
Sales revenue = Price per unit x Quantity sold
Sales revenue = average spending per customer x number of customers
What is the formula for variable costs
Variable costs = Variable cost per Unit x Quantity sold
What is the formula for profit
Total revenue - Total costs
What is the formula for market capitalisation
Number of shares issued x market price per share
What is the formula for market share
Sales for one business/Sales for the whole business x 100
What is the formula for sales of one business
Market share of that business X Sales of the whole market
What is the formula for market growth
Increase in market/Market size in earlier 2 years x 100
Market size formula
Sales for one business/market share for the business (as a decimal)
Market size formula
Sales for one business/share for the business (as a decimal)
Gross profit formula
Revenue - Cost of sales
Operating profit formula
Gross Profit - Operating expenses
