Formulas

• Market Share


  (Sales of a Business / Total sales in the market) x100
• PED


  ( % change in quantity demanded / % change in price)
• YED

  % Change in quantity demanded / % Change in income
• Breakeven

  Total fixed costs / Contribution per unit
• Contribution

  Selling Price - Variable cost per unit
• Total Contribution

  Contribution per unit x number units sold
• Margin of Safety

  Total Output - Breakeven point
• Gross Profit

  Sales revenue - Cost of sales
• GP Margin

  (Gross Profit / Sales Revenue) x100
• Operating Profit

  Gross Profit - Expenses
• OP Margin

  (Operating Profit / Sales Revenue) x100
• Sales Volume

  Sales Revenue / Price
• Sales Revenue

  Price x Quantity
• Total Costs

  Fixed Costs + Variable Costs
• Total Variable

  Average Variable x Output
• Profit

  Total Revenue - Total Costs
• Net Profit

  Operating Profit - Tax
• NP Margin

  (Net Profit / Sales Revenue) x100
• Current Ratio

  Current Assets / Current Liabilities
• Acid Test Ratio

  ( Current Assets - Stocks) / Current Liabilities
• Gearing Ratio

  (Non current liabilities / Capital employed) x100
• ROCE Ratio

  (Operating Profit / Capital Employed) x100
• Capital Employed

  Total Equity + Non current Liabilities
• Labour Productivity

  Output per time period / Number of workers
• Labour Turnover

  (Number of employees leaving / Average number of employees) x100
• Absenteeism

  (Number of work days lost through absence / Total possible days worked) x100