Preliminary Midterm 1 Formiula Sheet

Preliminary Midterm 1 Formiula Sheet - Preliminary Midterm...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
Preliminary Midterm 1 Formula Sheet Definition of Variables: A = Assets = Total Assets Current Assets = CA Current Liabilities = CL E = Equity = Total Equity D = Debt = Total Debt = L = Liabilities = Total Liabilities LTD = Long-Term Debt NI = Net Income b = Plowback ratio Current Ratio = CA/CL Quick Ratio = (CA – Inventory)/CL Cash Ratio = Cash/CL ROE = NI/E ROA = NI/A Debt-Equity ratio = D/E (or L/E) Equity Multiplier = A/E = 1 + D/E Times Interest Earned = EBIT/Interest Exp Cash Coverage = EBITDA/Interest Exp Inventory Turnover = COGS/Inventory Days’ Sales in Inventory = 365/Inventory Turnover Receivables Turnover = Credit Sales/(A/R) Days’ Sales in Receivables = 365/Receivables Turnover Asset Turnover = AT = Sales/A Profit Margin = PM = NI/Sales New Working Capital = NWC = CA – CL Cash Ratio = Cash/CL Plowback or Retention Ratio = Div/NI Dividend Ratio = 1 – b Internal growth rate = [(ROA)(b)] / [1 – (ROA)(b)] Sustainable growth rate = [(ROE)(b)] / [1 – (ROE)(b)] Earnings per Share = EPS = NI/Shares
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 2

Preliminary Midterm 1 Formiula Sheet - Preliminary Midterm...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online