Accounting

Depreciation: Units of Production Method (UOP)

(Cost-Residual Value)/Total Units

Depreciation: Straight Line Method (SLM)

(cost-Residual Value)/UL

Margin of Safety

Actual Quantity Sold - Break Even Quantity

Number of individual product sold to earn target profit

Total Units Required x Proportion

Break-Even Units for Individual Product

Break Even Point x Proportion

Units to Earn a Desired or Target Profit (Multiple Products)

(FC + Desired Profit) / WACM

Units to Earn a Desired or Target profit (Single Product)

(Fixed Costs + Desired Profit) / Contribution

Weighted Average Contribution Margin (WACM)

(Proportion of A x Contribution of A) + (Proportion of B x Contribution of B) + (Proportion of C x Contribution of C)

Profitability Index

Present Value of Cash inflows / Initial Capital Cost

Accounting Rate of Return

Average Annual Profit / Average Investment to Earn that Profit

Break-Even Point (multiple)

Fixed Costs / WACM

Break-Even Point (single)

Fixed Costs / Contribution Margin per Product

Contribution Margin per Product

Revenue per unit - Costs per unit

NPV

-Initial Investment + (1st period revenue*1.rate¹) + (2nd period revenue*1.rate²) + (3rd period revenue*1.rate³)

Present Value to Future Value

PVx1.rⁿ

Future Value to Present Value

FV/(1.rⁿ)