Important Equations

Question 1

Labour Turnover

Answer 1

(Number of employees leaving during the year / average number employee during the year) x 100

Question 2

Absenteeism

Answer 2

( Total days absent in the month / total available working days in the month) x 100

Question 3

Lateness

Answer 3

( Total number of late arrivals / total number of scheduled attendances ) x 100

Question 4

Productivity

Answer 4

Output (per week/month/year) / average number of employees

Question 5

PERT

Answer 5

( Optimistic + (most likely x 4) + pessimistic ) / 6

Question 6

Total float

Answer 6

LFT - duration - EST

Question 7

Free float

Answer 7

EST - Duration - EST

Question 8

Price elasticity of demand

Answer 8

% change in quantity demanded / % change in price

Question 9

Income elasticity of demand

Answer 9

% change in quantity demanded / % change in income

Question 10

Cross elasticity of demand

Answer 10

% change in demand for good x / % change in price for good y

Question 11

Advertising elasticity of demand

Answer 11

% change in demand / % change in advertising spend

Question 12

Break even

Answer 12

Fixed costs / (sales price per unit - variable cost per unit)

Question 13

ARR

Answer 13

( Average annual return / investment ) x 100

Question 14

Capacity utilisation

Answer 14

( capacity used / total capacity) x 100