Business Calculations

The following table provides a list of the BST11 business calculations organized alphabetically by metric.

Metric Calculation
Accounts Receivable Balance

Billings - Collections
Accounts Receivable Days

This is typically calculated as:

Accounts Receivable Balance / Average Daily Revenue

In detail, it is calculated as:

Accounts Receivable Balance / (Document Balance x Document Days Old)

In A/R, it is calculated as:

Accounts Receivable Balance / (3 months Revenue / 90)
All Cost

Cost + Pending Cost
All Effort

Effort + Pending Effort
All Hours

Hours + Pending Hours
Availability Hours Standard Capacity Hours - Scheduled Hours
Available Hours

Employee Standard Hours Per Day x (Number of Working Days in the Period - Days for defined Non-chargeable fee types)

Note: Based on non-chargeable fee types to be excluded through resource scheduling.
Average Net Labor Multiplier (Revenue - Expense Cost) / Labor Cost
Average Daily Effort

This is typically calculated as:

Summed Effort for n months / Aging Days

In Resource Scheduling, it is calculated as:

3 months Effort / 90 or 6 months Effort / 180
Average Daily Revenue

This is typically calculated as:

Summed Revenue for n months/ Aging Days

In Project Management, it is calculated as:

3 months Revenue / 90 or 6 months Revenue / 180
Backlog

This is typically calculated as:

Total Budget - To Date Revenue

In Resource Scheduling, it is calculated as:

Total Budget - To Date Effort

  • In Project Forecasts Inquiry is calculated as:

    • Chargeable Budget Effort - Revenue (Total) with the negative values suppressed
    Billable Percent Total Hours

    Billable Hours / Total hours x 100

    Note: Where Staff Utilization is Billable.
    Cash Cycle / DSO Accounts Receivable Days + WIP Days
    Chargeable Utilization Percent Chargeable Hours / Total Hours x 100
    Committed Cost

    Purchase Order Cost - Vouchered Cost
    Committed Effort

    Purchase Order Effort - Vouchered Effort
    Cost Labor Cost + Expense Cost
    Cost at Completion This value is entered by the user in the Project and Project Progress Earned Value tabs.
    Cost at Completion (Effective) This value is calculated in the various inquiries by a complex formula based on revenue rules.
    Cost Percent Complete Cost / Budget Cost x 100
    Cost Remaining

    Budget Cost - Cost TD

    TD Budget Cost - Cost
    Document Days Old Aging Date - Document Date
    Effective Date Effective Date is the beginning date for which a rate or factor is to be used as an override to the default rate. The rate associated with this date will be applied to all transactions with transaction dates equal to or greater than the effective date.
    Effective Tax % Tax Amount / Pretax Amount x 100
    Effort

    The retail (marked-up) value of all labor and expense charges recorded on a project.

    Labor: Hours x Labor Bill Rate or Hours x Cost Rate x Multiplier

    Expense: Cost x Multiplier
    Effort At Completion This value is entered by the user in the Project and Project Progress Earned Value tabs.
    Effort At Completion (Effective) This value is calculated in the various inquiries and dashboards by a complex formula based on revenue rules.
    Effort Factor

    This is a pure calculation in Resource Scheduling as:

    Chargeable Utilization Percent x Net Labor Multiplier

    When all costs are to be removed, it is calculated as:

    (Effort - Expense Cost) / Total Labor Cost

    When only Sub-consultant costs are to be removed, it is calculated as:

    (Effort - Sub-consultant Cost) / Total Labor Cost
    Effort Percent Complete Effort / Budget Effort x 100
    Effort Performance Index Revenue TD / Effort TD
    Effort Remaining

    Budget Effort - Effort TD

    TD Budget Effort - Effort
    Estimated Hours

    Hours Estimated

    Note: Can be segmented into chargeable and non-chargeable.
    Estimated Labor Cost

    Cost of Hours Estimated

    Note: Can be segmented into chargeable and non-chargeable.
    Expense Cost Remaining TD Expense Budget Cost - Expense Cost
    Expense Effort Remaining

    TD Expense Budget Effort - Expense Effort
    Expense Multiplier Expense Revenue / Expense Cost
    Expense Profit Expense Revenue - Expense Cost - Expense Overhead
    Expense Profit % (Expense Revenue - Expense Cost - Expense Overhead) / Expense Revenue x 100
    Factored Fee Displays the factored fee amount. This is calculated as Fee * Bid Probability % * Win Probability % for the line item.
    Factored Net Fee Displays the factored net fee amount. This is calculated as Net Fee * Bid Probability % * Win Probability % for the line item.
    Fee Displays the fee amount. This is calculated as Labor + Expense + Subconsultant for the line item.
    Forecast to Complete
  • Calculated as the sum of forecasts made into the future beyond the earliest open period. This is for the earliest posting period where Stage is Open.
    		•
    Goal Cost Cost x Employee's Goal Utilization Percent / 100
    Goal Hours Hours x Employee's Goal Utilization Percent / 100
    Goal Labor Multiplier Labor Effort / Labor Cost
    Goal Multiplier Total Effort / Labor Cost
    Goal Profit

    This is typically calculated as:

    Effort - Cost

    When Overhead is calculated and tracked, it is calculated as:

    Effort - Cost - Overhead
    Goal Profit Percent Goal Profit / ABS(Effort) x 100
    Goal Utilization Percent Defined on Employee record. A value between 0 and 100.
    Gross Profit Revenue - Cost
    Gross Profit Percent Gross Profit / Revenue x 100
    Hours

    Hours Charged

    Note: Can be segmented into chargeable and non-chargeable.
    Labor Cost

    Cost of Hours Charged

    Note: Can be segmented into chargeable and non-chargeable.
    Labor Cost Remaining TD Labor Budget Cost - Labor Cost
    Labor Effort Remaining TD Labor Budget Effort - Labor Effort
    Labor Multiplier

    This is typically calculated as:

    Labor Revenue / Labor Cost

    In Resource Scheduling, it is calculated as:

    Labor Effort / Labor Cost
    Labor Percent Complete Labor Revenue / Labor Budget x 100
    Labor Percent Used Labor Effort / Labor Budget x 100
    Labor Profit Labor Revenue - Labor Cost - Labor Overhead
    Labor Profit % (Labor Revenue - Labor Cost - Labor Overhead) / Labor Revenue x 100
    Money Days Document Balance * Document Days Old
    Multiplier

    This is typically calculated as:

    Revenue / Cost

    In Resource Scheduling, it is calculated as:

    Effort / Cost
    Net Billings

    Billings - Tax

    Net Capacity Hours with No Scheduling

    Standard Capacity Hours - Actual Non-working Non-Chargeable Hours Worked
    Net Capacity Hours with Scheduling Standard Capacity Hours - Work Calendar Exceptions Hours- Scheduled Non-working Non-Chargeable Hours
    Net Capacity Labor Cost with No Scheduling Standard Capacity Labor Cost - Actual Non-working Non-Chargeable Labor Cost
    Net Capacity Labor Cost with Scheduling Standard Capacity Labor Cost - Work Calendar Exceptions Cost - Scheduled Non-working Non-Chargeable Labor Cost
    Net Goal Hours [Actual or Scheduled] Net Capacity Hours x Goal Utilization Percent / 100
    Net Goal Labor Cost [Actual or Scheduled] Net Capacity Labor Cost x Goal Utilization Percent / 100
    Net Effort

    When all costs are to be removed, it is calculated as:

    Effort - Expense Cost

    When only Sub-consultant costs are to be removed, it is calculated as:

    Effort - Sub-consultant Cost
    Net Fee Displays the net fee amount. This is calculated as Fee - (Expense + Subconsultant) for the line item.
    Net Labor Multiplier

    (Total Revenue - Expense Cost) / Labor Cost
    Net Revenue

    When all costs are to be removed, it is calculated as:

    Revenue - Expense Cost

    When only Sub-consultant costs are to be removed, it is calculated as:

    Effort - Sub-consultant Cost

    Net Utilization Cost %

    Chargeable Cost / [Actual or Scheduled] Net Capacity Cost x 100

    Net Utilization % Hours Chargeable Hours / [Actual or Scheduled] Net Capacity Hours x 100
    Net Utilization % Labor Cost Chargeable Labor Cost / [Actual or Scheduled] Net Capacity Labor Cost x 100
    Overhead Cost * Overhead %
    Pending Cost

    Cost value calculated for Pending Hours
    Pending Effort

    Effort value calculated for Pending Hours
    Pending Hours

    Scheduled hours left on resource plan
    Percent Complete Revenue / Budget x 100
    Percent Used Effort / Budget x 100
    Profit

    Revenue - Total Cost - Overhead
    Profit Percent

    (Revenue - Total Cost - Overhead) / ABS(Revenue) x 100
    Profit Percent Of Net Effort

    When all costs are to be removed and Overhead is calculated and tracked, it is calculated as:

    (Effort - Total Cost - Overhead) / (Effort - Expense Cost )

    When only Sub-consultant costs are to be removed and Overhead is calculated and tracked, it is calculated as:

    (Effort - Total Cost - Overhead) / (Effort - Subconsultant Cost )

    When all costs are to be removed and Overhead is not involved, it is calculated as:

    (Effort - Total Cost) / (Effort - Expense Cost )

    When only Sub-consultant costs are to be removed and Overhead not involved, it is calculated as:

    (Effort - Total Cost) / (Effort - Subconsultant Cost )
    Profit Percent Of Net Revenue

    When all costs are to be removed and Overhead is calculated and tracked, it is calculated as:

    (Revenue - Total Cost - Overhead) / (Revenue - Expense Cost )

    When only Sub-consultant costs are to be removed and Overhead is calculated and tracked, it is calculated as:

    (Revenue - Total Cost - Overhead) / (Revenue - Subconsultant Cost )

    When all costs are to be removed and Overhead is not involved, it is calculated as:

    (Revenue - Total Cost) / (Revenue - Expense Cost )

    When only Sub-consultant costs are to be removed and Overhead not involved, it is calculated as:

    (Revenue - Total Cost) / (Revenue - Subconsultant Cost )
    Profit Using Overhead Revenue - Total Cost - Overhead
    Profit Using Overhead Percent Profit Using Overhead / ABS(Revenue) x 100
    Provision

    The Provision field is the greater value from one of the following calculations:

    • (Effort TD – Write-off) – Budget Effort (eligible only if Effort TD – Write-off > Budget Effort)
    • Effort at Completion – Budget Effort (eligible only if Effort at Completion > Budget Effort)
    Regular Multiplier

    If Enable Multiplier Overrides has been selected, you may enter an externally calculated total regular multiplier to be used for this project. If not, this field displays the Regular Calculated Multiplier.

    This option applies to Labor Regular, Labor Premium, and Expense.
    Regular Calculated Multiplier

    Displays the regular calculated multiplier. This value is the Regular Base Multiplier compounded by the values defined in the other percentages.

    This option applies to Labor Regular, Labor Premium, and Expense.
    Relative Factored Net Fee % Opportunity Factored Net Fee / Total Opportunity Factored Net Fees for the selected Show By Group
    Remaining Hours Scheduled Hours - Hours charged
    Resource % Complete To Date Effort / Effort At Completion x 100
    Revenue The value earned by the firm for service on a project. It is the potential billable value on the project. It is calculated in a variety of ways depending on the fee types of the project, and recorded in the accounting period being measured. When posted to the accounting system, the offset account is Work In Progress.
    Revenue Factor

    When all costs are to be removed, it is calculated as:

    (Revenue - Expense Cost) / Total Labor

    When only Sub-consultant costs are to be removed, it is calculated as:

    (Revenue - Subconsultant Cost ) / Total Labor

    It may also be calculated as:

    Chargeable Utilization Percent x Net Labor Multiplier
    Revenue Forecast
  • Revenue Forecast (Total row) in Project Forecasts Inquiry is calculated as:

    • Sum of the forecasts entered by posting period across all time
    Revenue Percent Complete

    Revenue / Budget x 100
    Schedule Performance Index Revenue TD / Cumulative Sum (Task Effort Budget / [Posting Period of Task End Date – Posting Period of Task Start Date])
    Schedule Variance Revenue TD - Cumulative Sum (Task Effort Budget / [Posting Period of Task End Date – Posting Period of Task Start Date])
    Scheduled Cost at Completion To Date Cost + Scheduled Cost To Complete
    Scheduled Effort At Completion To Date Effort + Scheduled Effort To Complete
    Scheduled Hours

    Hours Scheduled

    Note: Can be segmented into chargeable and non-chargeable.
    Scheduled Labor Cost

    Cost of Hours Scheduled

    Note: Can be segmented into chargeable and non-chargeable.
    Scheduled Net Utilization Percent Hours Scheduled Chargeable Hours / Scheduled Net Capacity Hours x 100
    Scheduled Net Utilization Percent Labor Cost Scheduled Chargeable Labor Cost / Scheduled Net Capacity Labor Cost x 100
    Schedule Percent Complete To Date Effort / Effort At Completion x 100
    Scheduled Standard Utilization Percent Hours Scheduled Chargeable Hours / Standard Capacity Hours x 100
    Scheduled Standard Utilization Percent Labor Cost Scheduled Chargeable Labor Cost / Standard Capacity Labor Cost x 100
    Scheduled Total Utilization Percent Hours Scheduled Chargeable Hours / Hours x 100
    Scheduled Total Utilization Percent Labor Cost Scheduled Chargeable Labor Cost / Labor Cost x 100
    Standard Capacity Hours

    Working Hours - Holiday Hours

    Note: Per employee’s work calendar.
    Standard Capacity Labor Cost

    Working Cost of Hours - Cost of Holiday Hours

    Note: Per employee’s work calendar.
    Standard Goal Hours Standard Capacity Hours x Goal Utilization Percent / 100
    Standard Goal Labor Cost

    Standard Capacity Labor Cost x Goal Utilization Percent / 100
    Standard Utilization Percent Hours Chargeable Hours / Standard Capacity Hours x 100
    Standard Utilization Percent Labor Cost Chargeable Labor Cost / Standard Capacity Labor Cost x 100
    Standard Goal Hours Employee's Standard Hours x Goal Hours
    Standard Hours

    Employee Standard Hours Per Day x Number of Working Days in the Period

    Note: Based on resource calendar defined for the Employee.
    Tax Variance Expected tax amount (Pretax Amount x Tax % / 100) – actual Reported tax amount
    Total Cost Labor Cost + Expense Cost

    Total Utilization Cost %

    Chargeable Cost / Cost x 100

    Total Utilization Percent Hours Chargeable Hours / Hours x 100
    Total Utilization Percent Labor Cost Chargeable Labor Cost / Labor Cost x 100
    Unbilled Days Unbilled Money Days / Unbilled Balance
    Variance

    Revenue - Effort
    Variance at Completion Budget - Effort at Completion
    Variance Percent

    This is typically calculated as:

    Variance / Total Revenue x 100

    In Resource Scheduling, it is calculated as:

    Variance / Total Effort x 100
    Working Utilization % Chargeable Hours / (Total Hours - Actual Non-Working Non-Chargeable Hours) x 100
    Working Utilization Cost % Chargeable Cost / (Cost - Non-Chargeable Non-Working Cost) x 100

    WIP

    (Work In Progress)

    aka (Earned Unbilled)

    The value earned for service on a project less billings applied to the project. This is typically calculated as:

    Revenue - (Billings - Taxes)

    In Resource Scheduling, it is calculated as: Effort - (Billings - Taxes)
    WIP Days

    This is typically calculated as:

    WIP Balance / Average Daily Revenue

    In detail, it is calculated as:

    WIP Balance / (Document Balance x Document Days Old)

    In WIP, it is calculated as:

    WIP Balance / (3 months Revenue / 90)