midterm 1 cheat sheet

midterm 1 cheat sheet - Equity Multiplier = TA / TE = 1 +...

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Net Capital Spending = ending net fixed assets – beginning net fixed assets + depreciation Operating Cash Flow = EBIT + depreciation – taxes Networking Capital = CA – CL Current Assets Cash Marketable securities/short term investments AR Inventory Prepaid expenses Other CA Current Liabilities AP NP/short term debt Wages/taxes payable Accrued expenses Other CL Cash Flow to Creditors = Interest paid – New new borrowing = Interest paid – (LTD end – LTD beg ) Cash Coverage = (EBIT + Depreciation) / Interest Cash Ratio = Cash / CL Current Ratio = CA / CL Days’ Sales in Inventory = 365 / Inventory Turnover Days’ Sales in Receivables = 365 / Receivables Turnover Debt/Equity = TD / TE Earnings per share = NI / total # shares outstanding
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Unformatted text preview: Equity Multiplier = TA / TE = 1 + D/E Inventory Turnover = Cost of Goods Sold / Inventory Market-to-book ratio = market value per share / book value per share PE Ratio = Price per share / Earnings per share Profit Margin = Net Income / Sales Quick Ratio = (CA Inventory) / CL Receivables Turnover = Sales / Accounts Receivable Return on Assets (ROA) = Net Income / Total Assets Return on Equity (ROE) = Net Income / Total Equity Times Interest Earned = EBIT / Interest Total Asset Turnover = Sales / Total Assets Total Debt Ratio = (TA TE) / TA Retention Ratio = Addition to RE / NI External Finance needed = TA TL&OE Period rate = APR / number of periods per year EAR = [1+APR/m] m- 1...
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midterm 1 cheat sheet - Equity Multiplier = TA / TE = 1 +...

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