formulas Flashcards
total costs
fixed costs + variable costs
profit
total revenue - total costs
variable costs
variable costs per unit x no. units sold
total revenue
selling price per unit x no. unit sold
market capitalisation
no. shares issued x share price
expected value
(pay off A x probability A) + (pay off B x probability B)
net gain decision tree
expected value - initial costs of decision
market growth
change in market size between years
————————————————–X100
size of market in previous year
sales growth
change in sales between years
——————————————– X100
sales of product in previous year
market share
sales of one product
————————————– X100
Toal sales in market
price elasticity of demand
change in demand
—————————————- X100
change in price
added value
sales revenue - costs of goods
labour productivity
no. employees
unit costs
no. unit of output produced
capacity utilisation
actual output in a given time period
————————————————-X100
maximum output in given time period
ROI
return of investment £
——————————— X100
cost of investment £
gross profit
sales revenue - cost of sales
operating profit
sales revenue - cost of sales - operating expenses
profit for the year
operating profit + profit from other activities - net finance costs - tax
contribution per unit
selling price - variable costs per unit
total contribution
total revenue - total variable costs
break even output
contribution per unit
margin of safety
actual output - break even output
gross profit margin
gross profit
——————— X100
sales revenue
operating profit margin
operating profit
———————— X100
sales revenue
profit for the year margin
profit for the year
————————— X100
sales revenue
labour turnover
no. staff leaving during year
————————————————–X100
average no. staff employed during year
employee retention rate
no. employees at end period-no. of leavers
————————————————- X100
no. employees at end period
employee costs as percentage of turnover
employee costs
———————— X100
slaes turnover
labour cost per unit
units of output
return on capital employed
operating profit
————————————————–X100
total equity + non-current liabilities
current ratio
current liabilities
gearing
non-current liabilities
———————————————— X100
total equity + non current liabilities
payable days
payables
——————- X365
cost of sales
receivables days
receivables
——————— X365
sales revenue
inventory turnover
average inventories held
average rate of return
net return from project £
—————————————–X100
initial cost of project
