formulas Flashcards
(29 cards)
market growth (%)
(change in the size of market over a certain period/original size of market) x100
market share (%)
(sales of one product or brand or business/total sales in the market) x100
market size
number of sales in industry x selling price
revenue (sales or turnover)
selling price per unit x number of units sold
variable costs (total)
variable cost per unit x number of units sold
total costs
fixed costs + variable costs
profit
total revenue - total costs
contribution per unit
selling price - variable cost per unit
break-even output (unit)
fixed costs/contribution per unit
margin of safety
actual output - break-even level of output
net cash flow
total revenue - total expenses (inflow - outflow)
closing balance
opening balance + net cash flow
opening balance
the closing balance of the previous month
gross profit
revenue - cost of sales
net profit
gross profit - total expenses
retained profit
net profit - tax and dividends
gross profit margin
(gross profit/revenue) x100
net profit margin
(net profit/revenue) x100
absenteeism (%)
(the total number of staff absence days over the year/total number of working days that should have been worked) x100
labour productivity
output over a time period/average number of employees over a period of time
labour turnover (%)
(number of staff leaving/average number of staff employed by business) x100
added value
price that the product or service is sold at - cost of production
labour productivity
output over a time period/number of employees
capital productivity
output/capital employed
