formulas

Cards (40)

  • net cash flow = inflows - outflows
  • closing balance = opening balance + net cash flow
  • cumulative flow = sum of all closing balances
  • sales revenue = selling price x quantity
  • total variable costs = variable cost per unit x quantity
  • total costs = fixed costs + variable costs
  • profit = total revenue - total costs
  • break even output = fixed costs / contribution
  • contribution per unit = selling price - variable costs
  • total contribution = contribution per unit x quantity sold
  • margin of safety = actual output - break even output
  • profit = contribution - fixed costs
  • budget variance = budget amount - actual amount
  • gross profit = sales revenue - cost of sales
  • gross profit margin = (gross profit / revenue) x100
  • operating profit = gross profit - operating costs
  • operating profit margin = (operating profit / revenue) x100
  • net profit = operating profit - excess costs
  • net profit margin = (net profit / revenue) x100
  • capital employed = non current liabilities + equity
  • current ratio = current assets/current liabilities
  • acid test ratio = (current assets - inventory) / current liabilities
  • market share = (sales by business / total market sales) x100
  • percentage change = (difference/original) x100
  • labour productivity = output per period / number of employees in period
  • capacity utilisation = (actual output/maximum output) x100
  • average rate of return = (net profit per year/cost) x100
  • payback period = minus the yearly values from investment till positive then
    years + (amount needed / yearly amount) x12
  • discounted cash flow = NPV = cash flow x discount factor = for each year = add all up and accept if positive
  • decision trees = do for both success and failure = probability x expected value
  • total float = LFT - EST - duration
  • working capital = current assts - current liabilities
  • free float = EST next task - EST this task - duration
  • gearing ratio = (non current liabilities / capital employed) x100
  • capital employed =
    • share capital + retained earnings + non current liabilities
    • total equity + non current liabilities
  • return on capital employed = (operating profit / capital employed) x100
  • labour productivity = total output / average number of employees
  • labour turnover = (number leaving / number in post) x100
  • labour retention = (number of staff staying / number in post) x100
  • rate of absenteeism = (number of staff absent / total employed) x100