How does initiative work?

Can anyone explain how initiative works?  I'm looking for concrete details (i.e., formulas).  I know that it it affects the units order and frequency in the initiative list, but I haven't been able to find any specific details on the mechanics.

 

-Mark

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Think about every person has an initiative bar from 0 to 100. Each tick add that players initiative to the bar. Whenever a person exceeds 100 it is that players turn and their bar resets to 0.