Formulas

• What is the formula for Total Costs?

  Fixed Costs + Variable Costs
• What is the formula for Revenue?

  Price x Quantity
• What is the formula for Break-even in units?

  Fixed costs/ (sales price - variable cost)
• What is the formula for Break-even in Revenue?

  Break-even Point in units x sales price
• What is the formula for the Margin of safety?

  Actual or budgeted sales - break-even sales
• What is the formula for Interest on loans (%)?

  Total repayment - borrowed amount / borrowed amount x 100
• What is the formula for Net Cash Flow?

  Cash Inflows - Cash Outflows
• What is the formula for Gross Profit?

  Revenue - Cost of Goods Sold
• What is the formula for Gross Profit Margin (%)?

  Gross profit/sales revenue x 100
• What is the formula for Net Profit?

  Total Revenue - Total Expenses
• What is the formula for Net Profit Margin (%)?

  (Net Profit / Total Revenue) x 100
• What is the formula for the Average Rate of Return (%)?

  Average annual profit (total profit / no. of years) / cost of investment x 100
• What is the formula for Percentage increase (%)?

  change / original x 100