Enterprise Equations Flashcards
(7 cards)
1
Q
Equation for profit
A
Revenue - costs
2
Q
Equation for revenue
A
selling price * quantity sold
3
Q
Equation for break - even
A
Fixed cost / (selling price - variable cost per unit)
4
Q
Equation for total costs
A
Fixed costs + (variable costs * quantity)
5
Q
Equation for Net cash flow
A
Inflow - outflow
6
Q
Equation for average cost per unit
A
total cost / output
7
Q
Equation for inventory value
A
quantity in stock * cost per unit
