FINANCE FORMULAS GUIDE WITH
QUESTIONS AND ANSWERS [ GRADED
A+]
Net Cash Flow - ✔️✔️Total Income - total expenditure
Closing Balance - ✔️✔️Opening balance - net cash flow
Total Revenue - ✔️✔️Selling price x quantity sold
Total Costs - ✔️✔️Total fixed costs - total variable costs
Profit - ✔️✔️Total Revenue - total costs
©morren2025/2026.Year published 2026.
, Contribution Per Unit - ✔️✔️Selling price per unit - variable cost per unit
Total Contribution - ✔️✔️Sales revenue - total variable costs
Profit (using contribution) - ✔️✔️Total contribution - Fixed costs
Break - Even Output - ✔️✔️Fixed costs / contribution per unit
Margin of safety (units) - ✔️✔️Actual sales - break-even output
Margin of safety (value) - ✔️✔️Margin of safety x selling price per unit
Sales Revenue - ✔️✔️Selling price per unit x number of units sold
Cost of Goods Sold - ✔️✔️Opening inventory + purchases - closing inventory
©morren2025/2026.Year published 2026.