Formula Flashcards
(21 cards)
Break even
Fixed costs/contribution per unit
Contribution per unit
Price - variable costs
Total contribution
Total revenue - variable costs
Market growth
Change in market size/original market size x100
Labour productivity
Output over time/number of employees
Labour turnover
Number of staff leaving/number of employed staff x100
Labour cost per unit
Labour cost/unit of output
Capacity utilisation
Actual output/maximum possible output x 100
Return on investment
Profit from investment/cost of investment x 100
Added value
Sales revenue - Cost of brought in goods and services
Margin of safety
Actual level of output - break even level of output
Employee cost as percentage of turnover
Employee cost/turnover x100
Employee retention rate for a certain time period
Number of employees who stayed through time period/number of employees at start of time period x 100
Unit costs (average costs)
Total costs/number of units of output
Return on capital employed.
(Operating profit/ capital employed) x 100
Gearing
N(on current liabilities/capital employed) x 100
Receivables days
(Trade receivables/ revenue) x 365
Stock turnover
Cost of sales/average inventory.
Payables days
(Trade payables/ cost of sales) x 365
Capital employed
Total equity + NCL
Total equity
Share capital + retained earnings
