Business Arithmetic — Formula Sheet

Unit Price = Total Billed Amount ÷ Number of Customers

Unit Cost = Total Cost of Goods Sold ÷ Number of Units Sold

Gross Profit per Unit = Unit Price − Unit Cost

BE Qty (Single Product) = Fixed Expenses ÷ (Selling Price per Unit − Variable Cost per Unit)

BE Qty (Multi-Product) = Fixed Expenses ÷ Weighted Average Contribution Margin per Unit

Weighted Avg CM = Σ (Contribution Margin per Unit × Sales Mix %)

Contribution Margin per Unit = Selling Price per Unit − Variable Cost per Unit

Units of Product X at BEP = Total BEP Units × (Sales Mix % of X)

Closing Balance = Opening Balance + Total Inflows − Total Outflows

For a single product

BEP (Qty) = Fixed Expenses ÷ (Selling Price per Unit – Variable Cost per Unit).

WACM = Σ (CM per unit × Sales Mix %) for each product.