**Finance Formulas** / July 17, 2018 / Alia Marquez

read moreAnnual percentage rate (APR) is the annualized interest rate on a loan or investment which doesn’t account for the effect of compounding. It is the annualized form of the periodic...

**Finance Formulas** / July 16, 2018 / Kenley Hopper

read moreSo how do you know if you’re spending the right amount? You need some numbers. First, you need to know how long the average customer sticks with you before they...

**Finance Formulas** / July 29, 2018 / Cecelia Weiss

read moreThe 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...

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

read morelifetime value of a customer and the cost of acquiring that customer. This is a particularly crucial measure for subscription based companies....

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

read moreCompanies record accounts receivable as assets on their balance sheets since there is a legal obligation for the customer to pay the debt. Furthermore, accounts receivable are current assets, meaning...

**Finance Formulas** / August 5, 2018 / Briana Leonard

read moreThe current ratio is a liquidity ratio that measures a company's ability to pay short-term and long-term obligations. To gauge this ability, the current ratio considers the current total assets...

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

read moreThe debt ratio is a financial ratio that measures the extent of a company’s leverage. The debt ratio is defined as the ratio of total debt to total assets, expressed...

__Finance Formulas__ / August 5, 2018 / Kenley Hopper

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 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 / Alia Marquez

read moreCPC stands for Cost Per Click and is an important metric for marketers to understand when analyzing the performance of their digital campaigns and arbitraging opportunities. The formula to calculate...

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