Thursday formula test

Question 1

PED

Answer 1

Change in quantity demanded/change in price

Question 2

YED

Answer 2

Change in quantity demanded/change in income

Question 3

Sales volume

Answer 3

Sales revenue/price

Question 4

Revenue

Answer 4

Price X quantity

Question 5

Total costs

Answer 5

Fixed costs + variable costs

Question 6

Variable costs

Answer 6

Total costs - fixed costs

Question 7

Profiy

Answer 7

Total revenue - total costs

Question 8

Net profit

Answer 8

Operating costs - tax

Question 9

Net profit margain

Answer 9

Net profit/revenue X100

Question 10

Current ratio

Answer 10

Current assets/current liabilities

Question 11

Acid test ratio

Answer 11

Current assets - stock/current liabilites

Question 12

Capital productivity

Answer 12

Output per time period/ number of machines

Question 13

Capacity utilisation

Answer 13

Actual output/maximum output X100

Question 14

Break even

Answer 14

Total fixed costs/contribution per unit

Question 15

Contribution

Answer 15

Selling price - variable costs

Question 16

Total contribution

Answer 16

Contribution per unit x number of units sold

Question 17

Margain of safety

Answer 17

Total output - breakeven point

Question 18

Gross profit

Answer 18

Revenue - cost of sales

Question 19

Gross profit margain

Answer 19

Gross profit/revenue X100

Question 20

Operating profit

Answer 20

Gross profit - expenses

Question 21

Operating profit margain

Answer 21

Operating profit/revenue X100

Question 22

Working capital

Answer 22

Current assets - current liabilities

Question 23

Productivity

Answer 23

Output per time period/input per time period

Question 24

Labour productivity

Answer 24

Output per time period/ number of workers