Y12 Formulas Flashcards
Market share
(Sales of a product or business/Total market sales) x 100
Market Growth
Market size(new)-market size(old)/market size old x 100
Price of elasticity of demand
% change in quantity demanded/ % change in price
Income of elasticity of demand
% change in quantity demanded/% change in income
Net cash flow
Total inflows-total outflows
Sales volume
Total number of units sold over a period of time
Sales revenue
Number of units sold x unit price
Total variable costs
Number of units sold x variable cost per unit
Total costs
Fixed costs+ variable costs
Contribution per unit
Selling price per unit-variable cost per unit
Total contribution
Contribution per unit x number of units sold
Break even
Fixed costs/contribution per unit
Margin of safety
Actual sales (or output)-break even output
Variance
Actual-budget
Gross profit
Sales revenue-cost of sales
Operating profit
Gross profit-overheads
Net profit
Operating profit+/- finance costs
Gross profit margin
(Gross profit/sales revenue) x100
Operating profit margin
(Operating profit/sales revenue) x100
Profit for the year (net profit) margin
(Profit for the year/sales revenue) x100
Current ratio
Current assets/current liabilities
Acid ratio test
(Current assets-stock)/current liabilities
Productivity(labour)
Output per period (units)/number of employees in that period
Average unit cost
Total costs/total output
Capacity utilisation
(Actual level of output/maximum possible output) x100
