Formulas

Question 1

Return On Equity (ROE)

Answer 1

Net income / Avg. Shareholders Equity

Question 2

Financial Leverage

Answer 2

Avg. Total Assets / Avg. Shareholders Equity

Question 3

Return On Assets (ROA)

Answer 3

Net Income / Avg. Total Assets

Question 4

Return On Sales (ROS)

Answer 4

Net Income / Sales

Question 5

Asset Turnover

Answer 5

Sales / Avg. Total Assets

Question 6

Accounts Receivable (A/R) Turnover

Answer 6

Sales / Avg. Accounts Receivable (A/R)

Question 7

Inventory Turnover

Answer 7

Cost Of Goods Sold / Avg. Inventory

Question 8

Accounts Payable Turnover

Answer 8

Purchases* (Ending Inventory + COGS - Beginning Inventory) / Avg. Accounts Payable

Question 9

Fixed Asset Turnover

Answer 9

Sales / Avg. Net Property, Plant and Equipment

Question 10

YOY (Year Over Year) Revenue Growth

Answer 10

(Revenue this quarter - Revenue Same Quarter Last Year) / Revenue Same Quarter Last Year

Question 11

YOY (Year Over Year) Growth in Accounts Receivable (A/R)

Answer 11

(A/R End Of This Quarter - A/R End Of Same Quarter Last Year) / A/R end of Same Quarter Last Year

Question 12

Days Receivables Index (DSRI)

Answer 12

Days Receivables* ((Receivables / Sales ) * 365) / Prior Days Receivables

Question 13

Gross Margin Index (GMI)

Answer 13

Prior Gross Margin* ((Sales - COGS) / Sales) / Gross Margin

Question 14

Asset Quality Index (AQI)

Answer 14

Asset Quality* (((Total Assets - (Current Assets + PPE)) / Total Assets) / Prior Asset Quality

Question 15

Sales Growth Index (SGI)

Answer 15

Sales / Prior Sales

Question 16

Depreciation Index (DEPI)

Answer 16

Prior Depreciation Rate* (Depreciation / (Depreciation + PPE)) / Depreciation Rate

Question 17

SG + A Index (SGAI)

Answer 17

SGAI Ratio* (SG + A Expense / Sales) / Prior SG + A Ratio