**Finance Formulas** / May 26, 2018 / Chanel Cleveland

read moreFor example, an investor starts her own business with $100,000 and earns $120,000 in profits during the first year. Her accounting profit is $20,000. But that same year, she could...

**Finance Formulas** / July 17, 2018 / Rory Wise

read moreThe loan payment formula is used to calculate the payments on a loan. The formula used to calculate loan payments is exactly the same as the formula used to calculate...

**Finance Formulas** / July 30, 2018 / Avalynn Orr

read moreThe asset turnover ratio is an efficiency ratio that measures a company’s ability to generate sales from its assets by comparing net sales with average total assets. In other words,...

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

read moreReturn on equity (ROE) measures the rate of return on the ownership interest or shareholders’ equity of the common stock owners. It is a measure of a company’s efficiency at...

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

read moreA lower debt ratio usually implies a more stable business with the potential of longevity because a company with lower ratio also has lower overall debt. Each industry has its...

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

read moreAsset turnover ratio is typically calculated over an annual basis using either the fiscal or calendar year. The total assets number used in the denominator can be calculated by taking...

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

read moreIn marketing, customer lifetime value (CLV or often CLTV), lifetime customer value (LCV), or life-time value (LTV) is a prediction of the net profit attributed to the entire future relationship...

__Finance Formulas__ / August 5, 2018 / Kenley Hopper

read moreEconomic profit is the difference between total monetary revenue and total costs, but total costs include both explicit and implicit costs. Economic profit includes the opportunity costs associated with production...

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

read moreEconomic profit is the profitability measurement that calculates the amount that revenues received from selling a product exceeds opportunity costs incurred from using resources to make and sell these products....

__Finance Formulas__ / August 5, 2018 / Briana Leonard

read moreDown payment (or downpayment, also called a deposit in British English), is a payment used in the context of the purchase of expensive items such as a car and a...

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