**Finance Formulas** / April 22, 2018 / Heaven Estes

read moreContribution margin is directly related to the contribution margin ratio. The contribution margin ratio can be calculated on a per-unit basis or an aggregate basis. The per-unit basis divides the...

**Finance Formulas** / July 20, 2018 / Cecelia Weiss

read morePresent value is the discounted sum of future cash flows each future cash flow is multiplied by a carefully selected number less than one, before being added together. The multiplication...

**Finance Formulas** / August 5, 2018 / Alia Marquez

read moreIn contrast, implicit costs are the opportunity costs of factors of production that a producer already owns. The implicit cost is what the firm must give up in order to...

**Finance Formulas** / August 5, 2018 / Avalynn Orr

read moreCross Price Elasticity of Demand (XED) is the responsiveness of demand for one good to the change in the price of another good. It is the ratio of the percentage...

**Finance Formulas** / August 5, 2018 / Aniyah Booth

read moreTotal costs are made up of fixed costs, those costs that are required for production but do not change based on output, and variable costs, those costs that increase or...

*Finance Formulas* / August 5, 2018 / Kenley Hopper

read moreAnnual percentage rate (APR) is the annualized interest rate on a loan or investment which doesnâ€™t account for the effect of compounding. It is the annualized form of the periodic...

__Finance Formulas__ / August 5, 2018 / Briana Leonard

read moreAn immediate payment annuity is an annuity contract that is purchased with a single payment and pays a guaranteed income that starts almost immediately. Also called a "single-premium immediate annuity...

*Finance Formulas* / August 5, 2018 / Alia Marquez

read moreContribution margin is a cost accounting concept that lets a company determine the profitability of its individual products. The phrase contribution margin can also refer to a per unit measure...

__Finance Formulas__ / August 5, 2018 / Kenley Hopper

read moreAn individual starts a business and incurs startup costs of $50,000. During the first year of operation, the business earns a profit of $75,000. If the individual had stayed at...

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