Accurate calculations are crucial to the financial health of any company. When useful source you’re planning the initial costs, determining your breakeven point or analyzing the value of a possible acquisition, you must employ the appropriate tools. Business calculations can be simple or complex, but the results are crucial.

The costs of starting up are those necessary to establish an enterprise, which includes furniture, office supplies, and equipment. The cost of starting up can also include research expenses including market and industry analyses. You can estimate the startup costs by studying the financial statements of businesses that are in your field, or asking your bookkeeper or accountant about specific cost categories. You should also add an insurance policy of 10% of your beginning costs, in order to account for the unforeseeable.

Calculating your total cost will allow you to determine if you will make a profit after selling your services or products. You can determine your cost of goods sold (COGS) using a formula. This is a crucial figure in determining the price and profit margins.

The best business calculators have a variety of functions and are simple to use. Some calculators for business have built-in features, such as interest rate conversions and amortization. Some may also have visual graphs or connect to a computer for safe storage of calculations. There are many business calculators that have more advanced features. For instance an NPV calculator that makes use of the discounted cash-flow calculation to calculate the future cash flows’ net present value.