formulas Theme 2 Flashcards
Average fixed costs per unit
Total fixed costs / units sold
Average total cost per unit
Total costs / unit sold
Profit / loss
Total rev - costs
Sales revenue
Units sold x ave price
Gross profit
Revenue - cost of sales
Operating profit
Goss profit - other operating expenses
Net profit
Operating profit - tax and interests
Net Profit margin
Profit / revenue x 100
Gross profit margin
Gross profit / sales rev x 100
Operating profit margin
Operating profit margin / sales revenue x 100
Net profit margin
Net profit / revenue x 100
Current ratio
Current assets / current liabilities
Acid test ratio
Current assets - stock / current liabilities
Net cash flow
Cash in flow - outflow
Opening balance
Closing balance from befoee
Closing balance
Net cash flow+ opening balance
Break even
Fixed costs / contribution (selling price - vc per unit )
Contribution per unit
Selling price per unit - variable costs pu po
Total contribution
Contribution per unit x number of units sold
Budget variance
Actual figure - budgeted
Break even output
Total fixed costs / contribution per unit
Margin of safety
Current sales volume / output - break even output
Working capital
Current assets - current liabilities
Labour productivity
Output per time period / number of employees at work
Capacity utilisation
Actual output / maximum possible output x 100
