All Calculations Flashcards
(28 cards)
What is the formula for market capitalisation?
- Number of shares issued X share price
How to work out expected value of decision in decision trees?
( Probability of Dec A X pay off Dec A) + (Probability of Dec B X Pay off B)
What is the formula for net gain?
- Expected value- Initial cost of investment
What is the formula for market growth(%)?
Change in size of market over a period/Original size of the market X 100
Formula for added value?
Sales revenue- cost of bought-in goods and services
Formula for labour productivity?
Number of units of output/number of employees
Formula for average unit costs?
- Total costs/number of units of output
Formula for capacity utilisation?
- Actual output/maximum possible output X 100
Formula for return on investment?
Profit from investment/cost of investment X 100
Formula for Gross Profit?
- Gross profit= Sales Revenue- Cost of sales
Formula for operating profit?
- Operating profit= Gross profit-Operating expenses
Formula for Profit for the Year?
PFY= Operating profit+ Profit from other activities-tax-Net finance costs
Formula for gross profit margin
GPM= Gross profit/revenue X 100
Formula for operating profit margin?
Operating profit/revenue X 100
Formula for profit for the year margin?
Profit for the year/revenue X 100
Formula for variance?
Budgeted figure-actual figure
Formula for contribution per unit?
Selling price- variable cost per unit
2 Formulas for total contribution?
- Contribution per unit X units sold
OR - Total revenue-total variable costs
Formula for break even output?
- Fixed costs/contribution per unit
Formula for Margin of safety?
Actual output-Break even output
Formula for return on capital employed?
Operating profit/total equity+ non current liabilities
Formula for current ratio?
Current assets/current liabilities
Formula for gearing?
- Non current liabilities/total equity+ non current liabilities X 100
Formula for payable days?
Payables/ Cost of Sales X 365
