The formula to calculate the Estimated Earnings (EE) is:
\[ EE = FS - FE \]
Where:
Estimated Earnings is a simple way of restating how to calculate net income, i.e., earnings, based on its estimated components.
Forecasted Sales is the estimation of what your business’s sales are going to be in the future.
Forecasted Expense is the estimation of anticipated expenses for an upcoming period of time.
Let's assume the following values:
Using the formula:
\[ EE = FS - FE \]
Evaluating:
\[ EE = 290000 - 50000 \]
The Estimated Earnings is 240000.
| Forecasted Sales | Forecasted Expense | Estimated Earnings |
|---|---|---|
| 250000 | 40000 | 210,000.000000000000000 |
| 250000 | 45000 | 205,000.000000000000000 |
| 250000 | 50000 | 200,000.000000000000000 |
| 250000 | 55000 | 195,000.000000000000000 |
| 250000 | 60000 | 190,000.000000000000000 |
| 260000 | 40000 | 220,000.000000000000000 |
| 260000 | 45000 | 215,000.000000000000000 |
| 260000 | 50000 | 210,000.000000000000000 |
| 260000 | 55000 | 205,000.000000000000000 |
| 260000 | 60000 | 200,000.000000000000000 |
| 270000 | 40000 | 230,000.000000000000000 |
| 270000 | 45000 | 225,000.000000000000000 |
| 270000 | 50000 | 220,000.000000000000000 |
| 270000 | 55000 | 215,000.000000000000000 |
| 270000 | 60000 | 210,000.000000000000000 |
| 280000 | 40000 | 240,000.000000000000000 |
| 280000 | 45000 | 235,000.000000000000000 |
| 280000 | 50000 | 230,000.000000000000000 |
| 280000 | 55000 | 225,000.000000000000000 |
| 280000 | 60000 | 220,000.000000000000000 |
| 290000 | 40000 | 250,000.000000000000000 |
| 290000 | 45000 | 245,000.000000000000000 |
| 290000 | 50000 | 240,000.000000000000000 |
| 290000 | 55000 | 235,000.000000000000000 |
| 290000 | 60000 | 230,000.000000000000000 |
| 300000 | 40000 | 260,000.000000000000000 |
| 300000 | 45000 | 255,000.000000000000000 |
| 300000 | 50000 | 250,000.000000000000000 |
| 300000 | 55000 | 245,000.000000000000000 |
| 300000 | 60000 | 240,000.000000000000000 |
| 310000 | 40000 | 270,000.000000000000000 |
| 310000 | 45000 | 265,000.000000000000000 |
| 310000 | 50000 | 260,000.000000000000000 |
| 310000 | 55000 | 255,000.000000000000000 |
| 310000 | 60000 | 250,000.000000000000000 |
| 320000 | 40000 | 280,000.000000000000000 |
| 320000 | 45000 | 275,000.000000000000000 |
| 320000 | 50000 | 270,000.000000000000000 |
| 320000 | 55000 | 265,000.000000000000000 |
| 320000 | 60000 | 260,000.000000000000000 |
| 330000 | 40000 | 290,000.000000000000000 |
| 330000 | 45000 | 285,000.000000000000000 |
| 330000 | 50000 | 280,000.000000000000000 |
| 330000 | 55000 | 275,000.000000000000000 |
| 330000 | 60000 | 270,000.000000000000000 |
| 340000 | 40000 | 300,000.000000000000000 |
| 340000 | 45000 | 295,000.000000000000000 |
| 340000 | 50000 | 290,000.000000000000000 |
| 340000 | 55000 | 285,000.000000000000000 |
| 340000 | 60000 | 280,000.000000000000000 |
| 350000 | 40000 | 310,000.000000000000000 |
| 350000 | 45000 | 305,000.000000000000000 |
| 350000 | 50000 | 300,000.000000000000000 |
| 350000 | 55000 | 295,000.000000000000000 |
| 350000 | 60000 | 290,000.000000000000000 |