Cours 1-5

Question 1

Operating cash flow =

Answer 1

operating receipts - operating payments

Question 2

Free cash flow =

Answer 2

operating cash flow - investment cash flow (-corp tax)

Question 3

investment cash flow =

Answer 3

capital expenditure - fixed asset disposals

Question 4

net increase in debt (=increase in cash balance)=

Answer 4

FCF - financing cash flows

Question 5

EBITDA=

Answer 5

(earnings before interests, taxes, depreciation and 
amortization)=
\+ sales
\+ Production for inventories
- Purchase of inputs
\+ ∆ input inventories
- Other external costs
- Wages
- Diverse taxes

Question 6

Operating capital =

Answer 6

fixed assets + operating working capital

Question 7

Operating working capital =

Answer 7

+ Inventories (raw material, input goods, finished and unfinished
products)
+ Operating credit (accounts receivable, prepaids paid to suppliers,
fiscal & social credit)
- Operating debt (accounts payable, prepaids received from customers,
fiscal & social debt )

Question 8

Invested capital =

Answer 8

equity + net debt

Question 9

Net debt =

Answer 9

+ Financial Debt long-term (> 1 year)
+ Financial Debt short term (< 1 year)
- Investment marketable securities
- Cash and other liquidity

Question 10

FV(C)=

Answer 10

$C*(1+r)^T

Question 11

PV(C)=

Answer 11

$C/(1+r)^T

Question 12

PV(perpetuity)=

Answer 12

C/r

Question 13

PV(grow perp)=

Answer 13

C/r-g

Question 14

PV(perp, 1st CF today)=

Answer 14

C+C/r

Question 15

PV(grow perp, 1st CF today)=

Answer 15

C+ C*(1+g)/(r-g)

Question 16

PV(annuity)=

Answer 16

(1/r)*[1 - 1/(1+r)^T]

Question 17

PV(growing annuity)=

Answer 17

[C/(r-g)*[1 - (1+g)^T/(1+r)^T]

Question 18

Creal(inflation)=

Answer 18

Cnomi/(1+i)^T

Question 19

NPV =

Answer 19

C0 + C1/(1+r) + C2/(1+r)² …. + CT/(1+r)^T

Question 20

Payback period =

Answer 20

periode which elapses until the inital outlay has been recouped

Question 21

IRR = disount rate such that :

Answer 21

C0 + C1/1+IRR + C2/(1+IRR)²… = 0

Question 22

PI =

Answer 22

PV/C0=NPV/C0 +1