AMAZING Formula Revision List; Business Studies AS Level (Finance)

A brilliant list i found online which summarises an enormous amount of complex formulas - very useful for business studies students, great for revision.

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Formula list for

AS Business Studies



Essential Formulas
Percentages
Percentage change = (new ­ old) / old x 100 or difference / old x 100 where old is the previous
value and new is the current value.
Example: calculate the percentage increase if sales revenue increases from £120m to £150m.…

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Mark up
Mark up is found by adding a given percentage to the initial unit cost
Example: calculate the selling price of an item where unit cost = £5 and mark up is 200%. The selling
price = unit cost + (unit cost x mark up) = £5 + (£5…

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Investment decisions
Payback: the time taken to recover the sum of money invested.
Example: a new machine costs £10,000 and is expected to increase returns by £2,500 a year. The
payback period needed to recover money spent is four years.
Where payback occurs sometime during a year the following formula…

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Market Size, share and growth
Market size: total sales of all the firms in a given market. Market size by value is found by multiplying
the number of units sold by price
Example: Firm A sells 2,000 units at £8. Firm B sells 2,500 units at £5.

· Market size…

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