Business- finance formulas

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10 Terms

1
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Return on investment %

Return of investment / cost of investment x 100

2
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Percentage change in profit

current year profit - previous year profit / previous year profit x 100

3
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Gross profit

Sales revenue - cost of sales

4
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Operating profit

Sales revenue - cost of sales - operating expenses

5
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Profit for the year

Operating profit + other profit - net finance costs - tax

6
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Gross profit Margin %

Gross profit / sales revenue x 100

7
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Operating profit margin %

Operating profit / sales revenue x 100

8
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Profit for the year Margin %

Profit for the year / sales revenue x 100

9
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10
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