FORMULAS Flashcards
SE - BV PER SHARE
Common Shareholders Equity
/ Common shares outstanding
= BV per Common Share
SE - Common Shareholders Equity
Total Equity
- Preferred Stock Outstanding
- Cumulative Preferred Dividends in Arrears
SE - Cash Dividends
Cash Dividends - PF Current % - PF in Arrears = Balance - CS PF % = Balance Pro-rated
SE - Stock Dividends
Small (Less than 20 - 25%) Use MV
Large (Greater than 20 -25%) Use PV
SE - Basic EPS
Net Income - Pref Dividends
/ WACSO
= Basic EPS
SE - Diluted EPS
Net Income + Interest (net of tax)
/ WACSO + converted shares
SE - Diluted stock options/warrants
If market price is greater than option price
WC
CA - CL
CR
CA/CL
QR
CA + Net Rec + MS
/ CL
Cash Ratio
Cash + MS
/ CL
A/R Turnover
Credit Sales
/ Ave Net Rec
A/R Turnover in Days
365
/ A/R Turnover
Inventory Turnover
COS
/ Ave Inventory
Inventory Turnover in Days
365
/ Ave Inventory
Operating Cycle
A/R turnover in days + Inventory turnover in days
WC Turnover
Net Sales
/ Ave WC
Total Asset Turnover
Net Sales
/ Ave Total Assets
Return on Total Assets
Net Income
/ Ave Total Assets
Return on Investment
Net Income + Interest (net of Tax)
/ Ave (Liabilities + Equity)
Dupont Return on Assets
Net Profit Margin x Total Assets Turnover
Return on Common Equity
Net Income - Pref Dividends
/ Ave Common Equity
Debt to Equity
Liabilities
/ Common Equity
Debt Ratio
Liabilities
/ Assets
TImes Interest Earned
NBIT
/ Interest
SIRAGE - G
- recognized in I/S
- recognize in OCI Corridor Approach
Unrecognized G/L - Greater of 10% PBO or FV PA = Excess / Ave Service Life = Amortization
SIRAGE - E
Funded Status
/ Greater of 15 years or Ave Job Life remaining
= Amortization of existing net oblig or asset
SIRAGE - E (Post retirement)
- Expense
- Amortize
Funded Status
/ Greater of 20 years or Ave Job Life remaining
= Amortization of existing net oblig or asset
Lease Discount/Premium Amortization
Bond Issue Costs
Straight Line
Straight Line
Discount/Premium/Bond Issue Costs
/ Period Outstanding
Reportable Segment Tests
10% Size (Combined revenues, Greater of Profit or Loss or Assets)
75% Sufficiency (Consolidated Revenues)
Operating profit Segment
Segment Revenues (External and Internal)
(Direct costs)
(Allocated Costs)
= Operating Profit
Lack Commercial Substance
Partial gain if boot received is less than 25%
Full gain is boot received is greater than 25%
