Formulas Flashcards
Net cash flow
Total cash inflow - total cash outflow
Closing balance
Opening balance + net cash flow
Total revenue
Selling price x quantity sold
Total costs
Fixed costs + variable costs
Profit (2)
Total revenue - total costs
Or
Gross profit - expenses
Total contribution (f)
Sales revenue - total variable costs
Contribution (per unit)
Selling price - variable cost (per unit)
Profit (using contribution)
Contribution per unit x margin of safety
Break even
Total fixed costs/ contribution per unit
Margin of safety (2 formulas)
Actual sales - break even level of output
Or
Expected output (units/in case study) - break even quantity (cash flow chart)
Gross profit (f)
Sales revenue - costs of goods sold (cost of sales)
Costs of goods sold (cost of sales)
Opening inventory + purchases - closing inventory
Profit/loss for the year
Gross profit - expenses + other income
Net book value
Cost - depreciation
Net current assets
Current assets - current liabilities