Accurate calculations are vital to the financial health of any company. If you’re planning beginning costs, determining your breakeven point or analyzing the value of a potential acquisition, it’s important to make use of the appropriate tools. Calculations can be straightforward or complicated but the results are important.

Start-up costs are the cost required to launch the business of a new company, which includes furniture, office supplies, and equipment. The cost of starting up can also include research expenses for market research and industry analyses. A good estimate of startup costs can be made by examining the financial statements of similar businesses in your industry, or by speaking with your bookkeeper or accountant for assistance on particular cost categories. It’s also beneficial to add a buffer of safety, such as 10%, when you calculate your initial costs to cover the unexpected.

Calculating your total cost will help you determine if you will earn a profit after selling your goods or services. Calculate your cost of goods (COGS) by using the formula. This is an important figure for setting prices and determining your profit margin.

The best business calculators have many functions and are simple to use. Certain business calculators come with built-in functions like amortization and interest rate conversions. Others may include visual graphs or connect to a computer for secure storage of calculations. There are many business calculators that include more advanced features. For example an NPV calculator that uses the discount-cash-flow method to calculate the net present value.

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