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FAQ

How do you do a 10% tip?

To calculate a 10% tip, you can follow these steps:

  1. Determine the bill amount: Look at your restaurant bill and find the total amount due.

  2. Calculate the tip amount: Multiply the bill amount by 0.10 (which is the decimal equivalent of 10%). For example, if the bill amount is $50, you would calculate 0.10 x $50 = $5.

  3. Add the tip amount to the bill amount: Add the tip amount you calculated in step 2 to the original bill amount to find the total amount due, which includes the tip. For example, if your bill was $50 and you left a $5 tip, the total amount due would be $55.

So, if you want to leave a 10% tip, you simply multiply the bill amount by 0.10 to get the tip amount and add it to the original bill amount to get the total amount due.

How do you calculate CTR?

CTR (Click-Through Rate) is a metric used to measure the effectiveness of an online advertising campaign. It is calculated by dividing the number of clicks an ad receives by the number of times the ad was shown (impressions) and multiplying by 100.

 

To calculate CTR, use the following formula:

CTR = (clicks ÷ impressions) x 100

For example, if an ad received 100 clicks and was shown 10,000 times, the CTR would be:

CTR = (100 ÷ 10,000) x 100 = 1%

How do you calculate the profitability index?

The profitability index (PI) is a ratio of the present value of the future cash flows of an investment to its initial cost. It helps investors evaluate the potential profitability of an investment by comparing the present value of future cash inflows to the cost of the investment.

Why is Sharpe ratio used?

The Sharpe ratio is used by investors and analysts to compare the performance of different investments or portfolios on a risk-adjusted basis. It helps to determine whether an investment or portfolio is generating adequate returns relative to the amount of risk it is taking on.

What is the formula for the receivables turnover ratio?

The formula for the receivables turnover ratio is:

Receivables Turnover Ratio = Net Credit Sales / Average Accounts Receivable

 

Where:

  • Net Credit Sales = Total Sales - Cash Sales - Sales Returns
  • Average Accounts Receivable = (Beginning Accounts Receivable + Ending Accounts Receivable) / 2

How do you calculate current ratio from working capital?

You cannot directly calculate the current ratio from working capital alone. However, you can use working capital as one of the components in the current ratio formula.

 

The formula to calculate the current ratio is:

Current Ratio = Current Assets / Current Liabilities

 

where Current Assets are the assets that can be easily converted into cash within one year, and Current Liabilities are the debts that are due within one year.

How do I calculate EBITDA?

  • To calculate EBITDA, you need to start with the company's Earnings Before Interest and Taxes (EBIT) and then add back the depreciation and amortization expenses.
  • The formula for calculating EBITDA is:

EBITDA = EBIT + Depreciation + Amortization

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