AFC Flashcards
• Cash Flow From Operating activities
EBIT * quality of operating earnings
• COST OF RAW MATERIALS IN THE PRODUCTION UNIT
Purchase of raw materials – Delta inventories(f-i)
• CURRENT ASSETS
current ratio * current liabilities
• D&A
EBITDA – EBIT
• DPO (DAYS PAYABLE OUTSTANDING)
(Payables / Cost of goods sold) * 365
• DPO
(Trade payables/Purchased of raw materials) * 365
• DSO (DAYS SALES OUTSTANDING)
(Receivables/Revenues) * 365
• EARNING PER SHARE (EPS)
Net profit / Common shares
• EBIT (operating profit)
total revenues – raw materials used – cost of personnel – D&A – other operating expenses + changes in inventories – IMPAIRMENT (if present)
• EBIT
cash flow from operating activities – D&A + DELTA (NWC) + income taxes paid + interest paid
• EBIT
EBT + Financial Exp – Financial Inc
• EBIT
EBT + net financial interests
• EBIT
net profit + income taxes + net financial expenses
• EBIT
revenues * operating profit margin
• EBIT MARGIN %
Operating profit (EBIT) / Revenues
• EBITDA
EBIT + D&A
• EBITDA
EBIT + D&A + Impairment of goodwill
• EBITDA
Revenues – Operating costs + Amortization and depreciation
• EBITDA
Revenues * EBITDA margin
• EBITDA MARGIN % (ROS)
(Operating profit (EBIT) + Depreciation & Amortization) / Revenues
• EBT
net profit + income taxes
• EBT
EBIT – Financial Exp + Financial Inc
• EFFECTIVE TAX RATE %
Taxes / Pre-tax profit
• FINANCIAL EXPENSES
EBIT – earning before taxes (EBT)
• FINANCIAL LEVERAGE
Debt / Shareholders equity (D/E)
• GROSS PROFIT
EBIT + Operating Expenses
• GROSS PROFIT
EBIT + selling and general administrative expenses – other operating income
• GROSS PROFIT
EBIT + Selling and General Administrative Expenses + Other operating Expenses – Other Operating Income
• GROSS PROFIT
EBIT – Other operating income + R&D expenses + Selling and Administrative Expenses + Other operating expenses
• GROSS PROFIT
Revenues – cost of goods sold
• ICR
EBIT / Interest Expenses
• NET CASH FLOW FROM OPERATING ACTIVITIES
EBIT + D&A and impairment + changes in inventories + changes in receivables + changes in payables – interest paid – income taxes paid
• NET FINANCIAL EXPENSES
financial expenses – financial revenues
• NET PROFIT
EBT –Taxes
• NET PROFIT
equity – reserves – share capital (number of shares * nominal price per share)
• NET PROFIT
revenues x net profit margin
• NET PROFIT MARGIN %
Net profit / Revenues
• NOT FOR PROFIT (NFP)
financial liabilities (current+ non-current) - cash and cash equivalents
• Purchase of raw materials
Cost for the consumption of raw materials + Variation of raw materials (final – initial)
• RAW MATERIALS USED
purchase of raw materials – (DELTA inventories)
• RECEIVABLES
current assets – inventories – cash and cash equivalents – current financial assets
• TRADE PAYABLES
Current liabilities – Current financial liabilities
• REVENUES
EBIT + cost of sales + other operating expenses + general administrative expenses
REVENUES
gross profit + cost of sales
• REVENUES (SALES)
EBIT + period costs + cost of goods sold
• REVENUES
total assets * assets turnover ratio
• ROA (RETURN ON ASSETS) %
Operating profit (EBIT) / Total Assets
• ROA
EBIT margin * Asset turnover ratio
• ROE (return to equity)
Net Profit / shareholders’ equity
• ROE
[ROI + Liabilities/Equity * (ROI - r)] *s
• ROI (RETURN ON INVESTED CAPITAL) %
operating profit (EBIT) / total assets – nonfinancial liabilities
• TAX RATE
Income taxes/ EBT
• TAXES
EBT * Effective tax rate
• TOTAL REVENUES
revenues+otheroperatingincome+ changes in inventories of finished goods
• Alpha’s holding quota in Beta’s Equity
Beta’s Equity * holding quota
• Minority interests (Beta)
Beta’s Equity - Alpha’s holding quota
• Current Assets (CA)
Alpha’s CA + Beta’s CA
• Group EQUITY
Alpha’s Equity + Minority interests
• Equity investments
capital + reserves (of bought company)
• Non-current Liabilities (NCL)
Alpha’s NCL + Beta’s NCL
• Current Liabilities (CL)
Alpha’s CL + Beta’s CL
• GOODWILL AT ACQUISITION
Fair value of consideration transferred + fair value of non-controlling interests – Fair Value of net assets at acquisition
• CARRYING AMOUNT
Asset historical cost – accumulated depreciation
• DIVIDENDS
payout ratio * net profit
• DELTA NET WORKING CAPITAL
(DELTA receivables) - (DELTA payables) + (DELTA inventories)
• TV (terminal value)
FCFE / Ke
• Tc
Taxes / EBT
• Ke
FCFE / Tve
• CAPEX COVERAGE %
CFFO / CAPEX (Capital expenditure)
• DELTA CAPEX
new investments – disposal of assets
• FCFF
FCFE + Financial expenses (NET) – Financial revenues (NET) + dividends paid – new loans
• FCFE
EBIT*(1-t) + D&A + Change NWC (i-f) - Net Capex - Net Int * (1-t) + New Debt - Debt repaid + Capital Issued – Dividends
• FCFE (actualized)
FCFEt /(1+Ke)^t
• TV actualized
TV/ (1 + Ke) ^ t
• DELTA CAPEX
purchase of new assets – disposal
• DELTA share capital
increase – decrease in share capital
• DELTA net debt
new loans – debt repayment
• TV
FCFF * (1+g) / (WACC – g)
• TV
FCFE * (1+g) / (Ke – g)
• (1-tc)
[WACC – KeE/(E+D)] / [Kd D/(D+E)]
• BETA LEVERED (BL)
(Ke – risk free rate) / (market premium)
• BETA UNLEVERED
BL / (1 + (1-tc) * D/E))
• WACC
D / ( E + D) * (1 – tax rate) * Kd + (equity / D + E)
• WACC
E/(E+D) * ke + D/(E+D) * (1 – tax) * kd
Ke
cost of equity
Kd
Interest expenses / debt
• BUDGET REVENUES
number of units * cost x unit
• BUDGETED COGS
production sold * unitary production cost + cost of inventories sold
• BUDGETED FULL PRODUCTION COST
direct material + manufacturing OVH + cost of direct labour
• BUDGETED PERIOD COSTS
marketing + administrative costs + R&D
BUDGETED PRODUCTION
Budgeted sales + Target ending finished goods – Beginning finished goods inventories
BUDGETE D PERIOD COSTS
Period costs of 2021 * (1 + alpha)
• CAPITAL QUOTA YEAR 1
Leasing rent - Interest quota year
• COGS
cost of goods manufactured – inventory used
• COST OF GOODS MANUFACTURED
cost of good available for sale (cost of goods sold) – cost of goods purchased -finished goods inventory (beginning)
• COST OF GOODS MANUFACTURED
labor + material usage + overhead cost
• Cost of goods sold
COGM – Inventories (at the end of the year)
• DIRECT MATERIAL USAGE BUDGET
cost of goods manufactured – direct manufacturing labor – total overhead
• EBIT
Revenues – COGS – Period Costs
• EBIT
ROS * Revenues
BUDGETED UNITARY PRODUCTION COST
full production cost / budgeted production
• GROSS MARGIN
Revenues – Cost Of Goods Sold
• INTEREST QUOTA YEAR 1
Debt year 1 x interest
• MANUFACTURING OVH BUDGET
operators + supervisor + depreciation + other OVH
• PERIOD COST BUDGET
Gross margin – EBIT
• PERIOD COSTS 2021
period cost 2020 * (1 + alpha)
• PERIOD COSTS
Gross margin - EBIT
• Revenues (1 – ROS)
COGS + Period Costs
• ROS * (Revenues)
Revenues – COGS – Period Costs
• Variable budgeted costs
total budgeted costs – fixed budgeted costs
• Per unit variable cost
variable budgeted costs / budgeted units
• Total efficiency variable
total actual costs – flexible budget
• Flexbilbe budget
budgeted fixed costs + (X unit variable cost * units produced)
• E (market capitalization)
Net profit * price per share
• FCFE (actualized)
FCFEt /(1+Ke)^t
• EARNINGS GROWTH (EPS growth rate)
(EPS 2021- EPS 2020 / EPS 2020) X 100
• EQUITY VALUE
FCFE actualized + TV actualized
• Equity value
enterprise value / D&A
• Equity value
price per share * number of shares
• EPS
net profit / common shares (number of shares)
• NFP
long term debt + short term debt – available cash
• P/E (F)
market capitalization / net profit
• P/E
price per share / EPS
• PEG (D)
PE ratio / Earnings growth
• PRICE
Average P/E * EPS
• TERMINAL VALUE (TV)
FCFF * (1 + growth rate) / (WACC – growth rate)
• TERMINAL VALUE
FCFE / Ke
• ALLOCATION BASIS (SALES)
Sales (Bu 1) + (Sales BU2 + increase in sales BU2)
• ALLOCATION COEFFICIENT
Corporate costs / Allocation basis (sales)
• CORPORATE COSTS BU
Allocation coefficient * Sales
• EBIT
EBIT margin * Sales (revenues)
• EBIT AFTER
EBIT 1 – Corporate costs BU
• PROPORTIONAL ALLOCATION METHOD
Weekly costs / Weekly capacity divided (capacity available)
• FEE ALLOCATION METHOD
Weekl80y costs / Weekly capacity
• TO PRODUCE
Additional units * number of machine-hours needed per unit
TRANSFER PRICE
CVup * (1+Mark-up)
• TRANSFER PRICE
(direct material + Direct labour + Manufactured overhead ) * (1 + mark-up of full cost)
• UNITARY CONTRIBUTION MARGIN (MAIN BUSINESS)
Selling price – CVup – CVdown
• UNITARY CONTRIBUTION MARGIN (SUBSIDIARY)
selling price – Transfer price - CVdown
• CV (UP, the company that transfers)
Direct material costs + direct manufacturing OVH (depends on prod.Volume)
• CV (DOWN, the company that receives)
direct material costs + direct manufacturing OVH (depends on
