Finance Flashcards
1
Q
Derivatives
Forward rate agreement
A
Contract to fix the interest charge on a footing rate loan
2
Q
Derivatives
Future contracts
A
Obligation to buy/ sell std quantity
3
Q
Derivatives
Swaps
A
Agreement to exchange periodic payments
4
Q
Derivatives
Options
A
The right but not obligation
5
Q
Derivatives
Forward
A
Obligation to buy/sell a defined amount of a specific asset at a specified price at a specified date
6
Q
Earnings per share
A
Earnings/ no of shares
7
Q
P/E ratio
A
Current share price /
EPS
8
Q
Earnings Yield
A
EPS / Current share price Or Total Earnings / Market capitalisation
9
Q
Payout rate
A
Dividend per share / EPS
10
Q
Dividend yield
A
Dividend per share /
Current share price
11
Q
Dividend cover
A
Earnings per share /
Dividend per share
12
Q
Capital Gearing
A
Debt / Debt + Equity
13
Q
Debt ratio
A
Total LT Debt /
Total Assets
