Chapter 6 formula sheet #1 Flashcards by Daniel Berhe

Q

Contribution Margin/unit

A

Selling Price / unit - Variable Exp / unit

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Q

CM Ratio

A

CM per unit / Selling Price per unit

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Q

Variable Expense ratio

A

Variable expenses / Sales

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Q

Profit / NOI

A

(Sales - Variable Expenses) - Fixed Expenses

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Q

Margin of Safety (in $$)

A

Total sales - BE sales

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