Business equations

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  • Created by: tevsz
  • Created on: 25-05-18 08:46
gross profit
sales revenue - cost of sales
1 of 8
operating profit
Gross profit - expenses
2 of 8
current ratio
current assets/current liabilities
3 of 8
acid test ratio
current assets - inventory / current liabilities
4 of 8
trade receivables days
Trade receivables/credit sales x 365
5 of 8
Trade payable days
Trade payable/credit purchase x 365
6 of 8
break even point
output - breakeven
7 of 8
total cost
fixed cost - variable cost
8 of 8

Other cards in this set

Card 2

Front

operating profit

Back

Gross profit - expenses

Card 3

Front

current ratio

Back

Preview of the front of card 3

Card 4

Front

acid test ratio

Back

Preview of the front of card 4

Card 5

Front

trade receivables days

Back

Preview of the front of card 5
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