Component one calculations

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REVENUE
number of items sold X Selling Price
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PROFIT
sales revenue – total costs
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CALCULATE A % INCREASE
% increase = Increase ÷ Original Number × 100
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CALCULATE % DECREASE
% Decrease = Decrease ÷ Original Number × 100
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MARKET SHARE OF THE COMPANY
firm’s earnings / industries earning
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VARIABLE COSTS
number of items sold X Variable cost per unit
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TOTAL COSTS
Fixed Costs + Variable Cost
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BREAK-EVEN POINT
Fixed Cost/Contribution
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CONTRIBUTION
selling price – variable cost per unit
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MARGIN OF SAFETY
Actual Sales (or expected sales) – Break even output
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GROSS PROFIT
Sales Revenue – Cost of Sales
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COST OF SALES
opening stock + purchases – closing stock
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NET PROFIT
Gross Profit - Expenses
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GROSS PROFIT MARGIN (%)
Gross profit / turnover x 100
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NET PROFIT MARGIN (%)
Net Profit / Turnover x 100
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NET CASH FLOW
Total income – Total Expenses
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OPENING BALANCE
closing balance from previous month
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CLOSING BALANCE
Net Cash Flow + Opening Balance
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SALES VARIANCE
Actual Sales – Budgeted Sales
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COSTS VARIANCE
Budgeted Amount – Actual Amount
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LABOUR TURNOVER
(number of staff leaving in a year / average number of staff employed) X 100
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ABSENTEEISM RATE
(days absent / number of potential working days) X 100
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LABOUR PRODUCTIVITY
total output per period of time / number of employees per period of time
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CAPITAL PRODUCTIVITY
output / capital employed
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CAPACITY UTILISATION
(output / capacity) X 100
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ADDED VALUE
selling price – costs of input
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Other cards in this set

Card 2

Front

sales revenue – total costs

Back

PROFIT

Card 3

Front

% increase = Increase ÷ Original Number × 100

Back

Preview of the back of card 3

Card 4

Front

% Decrease = Decrease ÷ Original Number × 100

Back

Preview of the back of card 4

Card 5

Front

firm’s earnings / industries earning

Back

Preview of the back of card 5
View more cards

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