Business Management - FORMULAS
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Last updated 10:26 AM on 4/5/26
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40 Terms
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Accumulated Depreciation Formula
Sum of depreciation costs from previous years
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Annual depreciation straight line method) Formula
(Purchase cost – Residual value) ÷ Estimated useful lifespan
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Average costs (unit cost) Formula
Total cost ÷ Output
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Average Fixed Costs (AFC) Formula
Total Fixed Cost ÷ Output
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Average Rate of Return (ARR) Formula
[(Total returns − Capital cost) ÷ Years of use] / Capital cost × 100
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Average Stock Formula
(Opening stock + Closing stock) / 2
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Average Variable Cost Formula
Total variable cost / Quantity (output)
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