12B - BTEC Business - Unit 3 - Formulas

What is the formula for calculating Net Profit?

• Sales Revenue (minus) Cost of Goods Sold

• Sales Revenue (plus) Costs of Goods Sold

• Sales Revenue (minus) Operating Costs

• Sales Revenue (plus) Operating Costs

What is the formula for calculating Costs of Goods Sold?

• Opening Stock (plus) Purchases (plus) Closing Stock

• Opening Stock (plus) Purchases (minus) Closing Stock

• Opening Stock (minus) Purchase (plus) Closing Stock

• Opening Stock (minus) Purchases (minus) Closing Stock

What is the formula for calculating Net Profit?

• Total Revenue (plus) Total Costs

• Total Revenue (divided by) Total Costs

• Gross Profit (plus) Operating Costs

• Gross Profit (minus) Operating Costs

What is the formula for calculating Working Capital?

• Non-current Assets (minus) Non-current Liabilities

• Non-current Assets (plus) Non-current Liabilities

• Current Assets (minus) Current Liabilities

• Current Assets (plus) Current Liabilities

On a Statement of Financial Position, what two figures are always the same?

• Net Assets & Current Assets

• Net Assets & Capital Employed

• Net Assets & Non-Current Assets

• Net Assets & Current Liabilities

What is the formula for calculating the Net Profit Ratio?

• Net Profit (divided by) Sales Revenue (X 100)

• Net Profit (plus) Sales Revenue (X 100)

• Net Profit (minus) Sales Revenue (X 100)

• Net Profit (plus) Gross Profit (X 100)

What is the formula for calculating the Gross Profit Ratio?

• Gross Profit (plus) Sales Revenue (X 100)

• Gross Profit (divided by) Sales Revenue (X 100)

• Gross Profit (minus) Sales Revenue (X 100)

• Gross Profit (plus) Net Profit (X 100)

What is the formula for calculating Mark-Up?

• Gross Profit (minus) Cost of Sales (X 100)

• Gross Profit (plus) Cost of Sales (X 100)

• Gross Profit (minus) Net Profit (X 100)

• Gross Profit (divided by) Cost of Sales (X 100)

What is the formula for calculating ROCE?

• Net Profit before Tax & Interest (minus) Capital Employed (X 100)

• Net Profit before Tax & Interest (plus) Capital Employed (X 100)

• Net Profit before Tax & Interest (divided by) Capital Employed (X 100)

• Net Profit before Tax & Interest (minus) Gross Profit (X 100)

What are the 2 main liquidity ratios?

• Current Ratio & Solid Capital Ratio

• Current Ratio & Liquid Capital Ratio

• Non-current Ratio & Current Ratio

• Non-current Ratio & Liability Ratio