Business5 min read
What Average Order Value Tells You (and What It Hides)
Average order value is revenue ÷ orders: ₹2,40,000 from 160 orders is ₹1,500 each. See how returns skew it, and why a high AOV is not the same as profit.
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20 articles
- Business4 min read
Break-Even Revenue From Fixed Costs and Margin
With ₹6,00,000 of fixed costs a month and variable costs at 35% of sales, a restaurant must bill ₹9,23,077 before it earns a rupee. Here is how.
- Business4 min read
Capacity Utilization Rate: Formula and Meaning
A support team that could resolve 4,500 tickets a month but handles 3,600 runs at 80% utilization. See the formula and why 100% is a warning.
- Business4 min read
Cart Abandonment Rate: Formula and What It Costs You
Cart abandonment = (carts − purchases) ÷ carts × 100. With 800 carts and 280 orders it is 65%. See where shoppers leave and what a five-point cut earns.
- Business4 min read
Cash Runway: How Many Months Until You Hit Zero
Runway = cash in bank ÷ monthly net burn. With ₹60 lakh and a ₹5 lakh net burn you have 12 months. See gross vs net burn and how growth changes it.
- Business4 min read
Contribution Margin: Per Unit and as a Ratio
Contribution margin is price minus variable cost: ₹250 less ₹150 leaves ₹100 a unit, a 40% ratio. See how it drives break-even and profit.
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