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Corp Finance - Ratios

  1. Current Ratio
    Current Assets / Current Liabilities
  2. Quick Ratio
    Current Assets ( - Inventory and below) / Current Liabilities

    (Assets that can be quickly converted to cash / current liabilities)
  3. Cash Ratio
    Cash / Current Liabilites
  4. Total Debt Ratio
    Total Debt / Total Assets
  5. Debt to Equity Ratio
    Total Debt / Total Equity
  6. Equity Multiplier
    Total Assets / Total Equity
  7. Long Term Debt Ratio
    Long term debt / (Long term debt + Total Equity)
  8. Times Interest Earned Ratio
    EBIT / Interest
  9. Cash Coverage Ratio
    EBIT + Depreciation / Interest
  10. Inventory Turnover
    COGS / Inventory

    This gives the # of times per year Inventory is filled and depleated. To find how many days this is: 365 / result.
  11. Recievables Turnover
    Sales / Accounts Recievable

    This gives the # of times per year an item goes from being sold, to collected on in A/R. To find how many days this is: 365 / result.
  12. Net Working Capital Turnover
    Sales / NWC
  13. Fixed Asset Turnover
    Sales / Net Fixed Assets
  14. Total Asset Turnover
    Sales / Total Assets
  15. Profit Margin
    Net Income / Sales
  16. Return on Assets
    Net Income / Total Assets
  17. Return on Equity
    Net Income / Total Equity
  18. Earnings Per Share Ratio
    Net Income / Shares outstanding
  19. Price to Earnings Ratio
    Price per Share / Earnings per Share
  20. Market to Book Ratio
    Market Value per Share / Book Value per Share
  21. Book Value per Share
    Total Equity / Number of Shares outstanding
  22. Du Pont Identity
    Profit Margin * Total Asset Turnover * Equity Multiplier
Author
Cynot
ID
7851
Card Set
Corp Finance - Ratios
Description
The Financial ratios for Corp. Finance - EXAM 1
Updated

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