BEC_financial ratios

Question 1

working capital

Answer 1

current assets - current liabilities

Question 2

Quick Ratio (Acid Test)

Answer 2

(cash + CE + ST marketable securities + AR) / current liabilities

Question 3

ROA

Answer 3

net income / AV total assets

（注）total assetsは、平均総資産(当該年度の期首と期末の平均値)

Question 4

ROE

Answer 4

net income / AV total equity

（注）total equityは、平均株主資本(当該年度の期首と期末の平均値)

Question 5

DE ratio

Answer 5

total liabilities / total equity

Question 6

financial leverage

Answer 6

total assets / total equity

Question 7

times interest earned

Answer 7

(net Income + interest expense + tax expense) / interest expense

Question 8

EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization)

Answer 8

Net Income + Taxes + Interest Expense + Depreciation & Amortization

Question 9

inventory turnover

Answer 9

CGS / AV inventory

Question 10

AR turnover

Answer 10

sales / AV AR

Question 11

asset turnover

Answer 11

sales / total assets

Question 12

EPS

Answer 12

(net income - applicable preferred dividends) / weighted shares outstanding

Question 13

PER (price to earning ratio)

Answer 13

(market value per share) / EPS

Question 14

PBR (price - book value ratio)

Answer 14

(market value per share) / BPS

Question 15

BPS (book value per share)

Answer 15

BV of equity / number of outstanding stocks

Question 16

FCF (simplified)

Answer 16

FCF = CF from operation − CF from investment​

Question 17

FCF

Answer 17

NOPAT + depreciation - change in working capital - capital expenditure

Question 18

EVA (economic value added)

Answer 18

NOPAT - capital cost [asset X cost of capital ratio]

Question 19

residual income

Answer 19

operating profit - capital cost [asset X cost of capital ratio]

Question 20

Days of Sales Outstanding (DSO)

Answer 20

AV AR / (sales / 365)

Question 21

Days of Sales in Inventory (DSI)

Answer 21

AV inventory / (CGS/365)

Question 22

Days of Payables Outstanding (DPO)

Answer 22

AV AP / (CGS/365)

Question 23

APR (annual percentage rate)

Answer 23

[(interest amount) / (principal amount)] X [(360 days) / (rending days)]

Question 24

EOQ (economic ordering quantity)

Answer 24

Root (2 X Annual demand X P (ordering cost)) / (S (annual carrying cost))

Question 25

NOPAT (net operating profit after tax)

Answer 25

income from operations x (1 - tax rate)

Question 26

CCC (cash conversion cycle)

Answer 26

DSI + DSO - DPO

Question 27

operating margin

Answer 27

operating profit / sales

Question 28

gross margin

Answer 28

gross margin / sales