Business Studies Unit 1 Flashcards

Question	Answer
What is the formula for profit?	Total revenue - Total costs
What is the formula for revenue?	Selling price per unit * sales
What is the total costs formula?	fixed costs + total variable costs
What is the total variable costs formula?	variable costs per unit * output
What is the break even output formula?	Fixed costs -------------------------------- Selling price per unit - VC per unit
What is the contribution per unit formula?	selling price per unit - variable costs per unit
What is the total contribution formula?	(selling price per unit - variable costs per unit) * output
What is the margin of safety formula?	actual output - break even output
What is the net monthly cash flow formula?	cash inflows - cash outflows
What is the closing balance formula?	opening balance + net monthly cash flow
What is the percentage change formula?	new-old --------------- * 100 old
What is the profit budget formula?	income budget- expenditure budget
What is the market share formula?	company sales ---------------------- * 100 total sales
What is the market growth formula?	new - old -------------------- * 100 old
What is the market size formula?	business sales ----------------------------- * 100 business market share
What is the added value formula?	selling price - cost of materials
What is the total added value formula?	(selling price - cost of materials) * output

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	Created by Elisha O'Brien almost 11 years ago