Studied by 5 people
sales revenue
selling price per item x number sold
total variable costs
variable costs per item x number sold
total costs
fixed costs + variable costs
profit
sales revenue - total costs
cost per unit
total costs / number sold
percentage change
( change / original ) x 100
market share
(business sales / total market sales) x100
market growth
(change in market size / original market size) x100
total cash inflows
add all inflows
total cash outflows
add all ouflows
net cash flows
cash inflows-cash outflows
opening balance
closing balance of previous month
closing balance
opening balance + net cash flow
net assets
(current assets + non current assets) - (current liabilities + non current liabilities)
average rate of return
(average yearly profit / cost of investment ) x 100
STEP 1- calculate average yearly profit: total profits / number of yrs
STEP 2- then calculate average rate of return
margin of safety
actual output - break even output
gross profit
revenue - cost of sales
net profit
gross profit - overheads
gross profit margin
(gross profit / revenue) x 100
net profit margin
(net profit / revenue) x 100
Note
Flashcard