Formulas Flashcards
(28 cards)
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 + Total variable costs
Profit
Total revenue - Total costs
Total contribution
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 output
Total Fixed Costs / Unit Contribution
Margin of safety
Actual sales - Break even level of output
Revenue
Unit price x Quantity sold
Gross profit
Sales revenue - Costs of goods sold
Cost of goods sold
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
Net assets
Non-current assets + Net current assets - Long term liabilities
Capital employed
Opening capital + Profit for the Year less drawings
Balance sheets (What needs to balance?)
Net assets = Capital employed
Gross profit margin
Gross profit/revenue x 100
Mark-up
Gross profit/cost of sales x 100
Profit margin
Profit/revenue x 100
Return on capital employed
Profit/Capital employed x 100
Current ratio
Current assets/Current liabilities
