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RELATED ARTICLES:Calculating Annual Percentage Rate Annual percentage rate is used to calculate the rate of interest that your invested money earns in a year or to calculate the cost of your credit per year. This is particularly important when comparing investment alternatives or loans to which one offers the best term for your business. Calculating Contribution Margin Let us say that you are selling three major products, if you are good with your book keeping you probably know which products are selling and which ones are not selling. However, the fact that the product sells faster than the others does not necessarily mean that it is your biggest contributor to y Calculating Marginal Cost You have heard of businesses that kept expanding for a while and then all of a sudden, they either start laying off people, reduce production or something dramatic had to happen in order to save the business. Ballooning costs is a major cause for business closure in modern business. Calculating Return on Investment (ROI) Return on investment is considered to be the overall profit or loss on an investment. It is usually expressed as a percentage of the total amount invested or the amount on the business' balance sheet. This is used as a measure Calculating for unknown number using partial information Before we get into detail of this lesson, I would like you to get a good grip of the numbering system. Given a number you should be able to decompose it into ones, tens, hundreds and thousands. The method you use is shown bellow: |
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