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Finance Formulas / June 23, 2018 / Heaven Estes

When the cross elasticity of demand for product A relative to the change in the price of product B is negative, it means that the quantity demanded of A has...

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Finance Formulas / August 5, 2018 / Alia Marquez

Contribution margin is a product’s price minus all associated variable costs, resulting in the incremental profit earned for each unit sold. The total contribution margin generated by an entity represents...

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Finance Formulas / August 5, 2018 / Alia Marquez

A business valuation might include an analysis of the company's management, its capital structure, its future earnings prospects or the market value of its assets. The tools used for valuation...

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Finance Formulas / August 5, 2018 / Avalynn Orr

When the cross elasticity of demand for product A relative to a change in the price of product B is positive, it means that in response to an increase in...

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Finance Formulas / August 5, 2018 / Briana Leonard

Cash flow is calculated by making certain adjustments to net income by adding or subtracting differences in revenue, expenses and credit transactions (appearing on the balance sheet and income statement)...

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Finance Formulas / August 5, 2018 / Kenley Hopper

Average total assets is defined as the average amount of assets recorded on a company's balance sheet at the end of the current year and preceding year. This figure is...

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Finance Formulas / August 5, 2018 / Aniyah Booth

The cash flow statement (CFS) measures how well a company manages its cash position, meaning how well the company generates cash to pay its debt obligations and fund its operating...

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Finance Formulas / August 4, 2018 / Alia Marquez

So 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...

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