Calculations - THEMES 1,2&3 Flashcards Preview

Business Studies - Theme 3 > Calculations - THEMES 1,2&3 > Flashcards

Flashcards in Calculations - THEMES 1,2&3 Deck (34):
1

Percentage change:

(difference between new & original/ original) x100

2

market growth (figure when given the old figure and % increase):

value x (1 + converted decimal)

3

market share:

you business value/ market value

4

price elasticity of demand (PED):

% change in quantity demanded/ % change in price

5

Income elasticity of demand (YED):

% change in quantity demanded/ % change in real income

6

total revenue:

sales x selling price per unit

7

total variable costs:

variable cost per unit x output

8

total costs:

total variable costs + total fixed costs

9

net cash flow: (2 calculations)

receipts - payments
inflows - outflows

10

opening balance:

equals previous months closing balance

11

closing balance:

opening balance + net cash flow

12

contribution per unit:

selling price per unit - variable costs per unit
sppu - vcpu

13

breakeven output:

fixed cost/ contribution per unit

14

total contribution:

contribution per unit x output

15

margin of safety:

actual sales output - breakeven level

16

profit:

total revenue - total costs

17

variance:

actual - budgeted figure

18

profit margins:

(GP or OP or NP/ revenue) x100

19

gross profit:

revenue - cost of sales

20

operating profit:

gross profit - overheads

21

net profit:

operating profit - taxation

22

current ratio:

current assets/ current liabilities

23

acid test ratio:

current assets - stock/ current liabilities

24

productivity:

output/ number of employees

25

capacity utilisation:

(current capacity level/total capacity) x100

26

gearing:

(non current liabilities/ capital employed) x100

27

return on capital employed: (2)

(operating profit/capital employed) x100
(operating profit/ total assets - current liabilities) x100

28

payback:

sum invested/ net cash per time period

29

average rate of return:

(average annual return/ initial outlay) x100

30

labour turnover:

(number of staff leaving the firm per year/ average number of staff) x100

31

labour productivity:

output per period/ number of employees per period

32

labour retention:

(staff not leaving in the past year/ average number of staff employed in the year) x100

33

absenteeism rate:

(days absent per year/ total number of working days) x100

34

cost per unit:

total fixed costs + total variable costs / total units produced