Business Equations Flashcards
1
Q
Gross profit
A
Revenue - cost of sales
2
Q
Net profit
A
Gross profit - operating costs
3
Q
Break even output
A
When total costs = total revenue
4
Q
Gross profit margin
A
Gross profit / sales revenue x 100
5
Q
Net profit margin
A
Net profit / sales revenue x 100
6
Q
Net cash flow
A
Total cash inflows - total cash outflows
7
Q
Revenue
A
Selling price x amount of sales
8
Q
A