# Accounting Dictionary Label

## Accounting FormulaAccounting Formula

Finance Formulas / January 3, 2018 / Heaven Estes

The topic of business valuation is frequently discussed in corporate finance. Business valuation is typically conducted when a company is looking to sell all or a portion of its operations...

## Break Even Point FormulaBreak Even Point Formula

Finance Formulas / August 5, 2018 / Avalynn Orr

Economic profit is not recorded on a company’s financial statements nor is it required to be disclosed to regulators, investors or financial institutions. Meanwhile, accounting profit is a widely used...

## Annual Growth Rate FormulaAnnual Growth Rate Formula

Finance Formulas / August 5, 2018 / Alia Marquez

The break-even point (BEP) in economics, business—and specifically cost accounting—is the point at which total cost and total revenue are equal. There is no net loss or gain, and one...

## Coupon Rate FormulaCoupon Rate Formula

Finance Formulas / August 4, 2018 / Alia Marquez

There are many ways for a company to access financing, and this is particularly so if a company has realistic expectations of future earnings against which it might borrow. For...

### Solvency Ratio FormulaSolvency Ratio Formula

Finance Formulas / August 4, 2018 / Alia Marquez

The debt to total assets ratio is calculated by dividing a corporation's total liabilities by its total assets. Let's assume that a corporation has \$100 million in assets, \$40 million...

#### Income Approach FormulaIncome Approach Formula

Finance Formulas / August 5, 2018 / Kenley Hopper

The cash ratio is most commonly used as a measure of company's liquidity. The metric calculates a company's ability to pay current liabilities using only cash and cash equivalents on...

##### Cpc FormulaCpc Formula

Finance Formulas / August 4, 2018 / Aniyah Booth

Diluted EPS considers what would happen if dilutive securities were exercised. Dilutive securities are securities that are not common stock but can be converted to common stock if the holder...

###### Contribution Margin Per Unit FormulaContribution Margin Per Unit Formula

Finance Formulas / August 5, 2018 / Briana Leonard

Business valuation is the process of determining the economic value of a business or company. Business valuation can be used to determine the fair value of a business for a...