Theme 2 Flashcards
1
Q
Breakeven
A
Total fixed costs / contribution per unit
2
Q
Contribution
A
Selling price - variable cost per unit
3
Q
Total contribution
A
Contribution per unit x number units sold
4
Q
Margin of safety
A
Total output - breakeven point
5
Q
Gross profit
A
Sales revenue- cost of sale
6
Q
Gross profit margin
A
(Gross profit/ sales revenue) x 100
7
Q
Operating profit
A
Gross profit - expenses
8
Q
Operating profit margin
A
(Operating profit / sales revenue) x100
9
Q
Productivity
A
Output per time period / input per time period
10
Q
Labour productivity
A
Output per time period / (No. Workers / Hours worked )
11
Q
Sales volume
A
Sales revenues / price
12
Q
Sales revenue
A
Price x quantity
13
Q
Total costs
A
Fixed costs + variable costs
14
Q
Total variable
A
Total costs - fixed costs
15
Q
Total variable
A
Average variable x output
