financial accounting Flashcards
Book value
total equity
market to book ratio
market value/book value
Price to earnings ratio (P/E ratio)
Market price per share/EPS
Earnings per share(EPS)
Profit/Numbers of shares
total market value
P/E x Profit
Book value per share
total equity/ number of shares
EPS
(net) Profits/ number of shares
Return on Equity (ROE)
Annual profit/equity
Current ratio
Current assets/current liabilities
Quick Ratio
(Current assets - Inventory)/ Current liabilities
Net working captial
Current assets-current liabilities
Debt Ratio
Total debts/total assets
debt to equity reatio
total debt/total equity
times interest earned
EBIT/Interest charge
Return on equity(ROE)
annual profit/equity x 100
Return on debt(ROD)
annual interst/total debt x 100
return on investment
annual EBIT/total investment x 100
ROE (2)
ROI+(ROI-ROD)x(D/E)
Margin on sales
EBIT/Sales
Turnover Rate
Sales/Total assets
Average collection period
(Accounts receivables/annual sales) x 365
aerage inventory period
(inventory level/annual cost of sales) x 365
divident yield
divident per share/market price per share
total yield
(divident per share + market price change)/Market price per share begin of the yera
dividend cover
net earnings/dividends
pay out ratio
dividends/net earnings
