theme 3 Flashcards
(12 cards)
average cost
total cost/current output level
payback period if cash flows are constant
sum invested/net cash per period
payback if cash flows are not constant overtime
sum invested/ monthly cash in year of payback
ARR
average annual return/initial costx100
discounted cash
cash flow x discount factor
capital employed
non current liabilities + total equity
gearing
non- current liabilities/ capital employed x 100
return on capital employed
operating profit / capital employed x 100
labour productivity
output per period/ number of employees per period
labour turnover
no of staff leaving a firm per year/ average number of staff x 100
staff retention
staff not leaving per year/ average number of staff x100
absenteeism
total absence in a period/ number of employees employed during that periodx100
