business formula sheet, Cheat Sheet of Business

it has all the formulas required in paper 1

Typology: Cheat Sheet

2023/2024

Uploaded on 01/09/2025

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Business formula sheet
Break even Formula = fixed
cost/contribution per unit
Contribution per unit = selling price -
variable cost
Margin of safety (units) = current level
of output - break even level of output
Margin of safety (%) = current sales -
break even sales / current sales
Percentage increase = new value - old
value / old value
Cost per unit = cost / number sold
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Business formula sheet

Break even Formula = fixed cost/contribution per unit Contribution per unit = selling price - variable cost Margin of safety (units) = current level of output - break even level of output Margin of safety (%) = current sales - break even sales / current sales Percentage increase = new value - old value / old value Cost per unit = cost / number sold

payback period = initial investment / annual cash flow negative year + deficit remains / cash flow * 12 months profitability ratios : gross profit margin = gross profit / net sales * 100 net profit margin = net profit / net sales * 100 contribution margin = revenue - variable cost net cash flow = cash flow in - cash flow out Average cost = total cost / unit produces