# Economic Profit Label

## Profit Maximizing Output FormulaProfit Maximizing Output Formula

Finance Formulas / July 31, 2018 / Chanel Cleveland

Because of the cost principle (and other accounting principles), assets are generally reported on the balance sheet at cost (or lower) amounts. As a result, it would be incorrect to...

## Total Cost Formula EconomicsTotal Cost Formula Economics

Finance Formulas / July 22, 2018 / Aniyah Booth

Instead of calculating interest on a finite number of periods, such as yearly or monthly, continuous compounding calculates interest assuming constant compounding over an infinite number of periods. Even with...

Finance Formulas / July 28, 2018 / Alyvia French

Companies fund their capital purchases with equity and borrowed capital. The equity capitalstockholders' equity can also be viewed as a company's net assets (total assets minus total liabilities). Investors...

## Retail Markup FormulaRetail Markup Formula

Finance Formulas / August 5, 2018 / Aniyah Booth

Breakeven quantity is the number of incremental units that the firm needs to sell to cover the cost of a marketing program or other type of investment, says Avery. If...

## Income Approach FormulaIncome Approach Formula

Finance Formulas / August 5, 2018 / Kenley Hopper

Instead of calculating interest on a finite number of periods, such as yearly or monthly, continuous compounding calculates interest assuming constant compounding over an infinite number of periods. Even with...

## Annual Growth Rate FormulaAnnual Growth Rate Formula

Finance Formulas / August 5, 2018 / Alia Marquez

Assets include anything a company owns that has monetary value, even if it can't be readily sold. They are split into two classes current assets, which refers to assets that...

### Break Even Point FormulaBreak Even Point Formula

Finance Formulas / August 5, 2018 / Avalynn Orr

The accounting equation is sometimes referred to as the "basic accounting equation" or balance sheet equation could also be written as Shareholders' Equity = Assets – Liabilities, where the statement...

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

Finance Formulas / August 5, 2018 / Briana Leonard

Customer lifetime value can also be defined as the monetary value of a customer relationship, based on the present value of the projected future cash flows from the customer relationship....

##### Inventory Cost FormulaInventory Cost Formula

Finance Formulas / August 5, 2018 / Alia Marquez

An 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...

###### Solvency Ratio FormulaSolvency Ratio Formula

Finance Formulas / August 4, 2018 / Alia Marquez

Since bonds are an essential part of the capital markets, investors and analysts seek to understand how the different features of a bond interact in order to determine its intrinsic...

Knowingpains