Formulas Flashcards
0
Q
Present value
A
PV=F/(1:1+i)n
1
Q
Future value
A
Fv=PV(1+i)n
2
Q
ARR
A
Annual project income/average investment
3
Q
Payback period
A
Project cost/annual cashflow
4
Q
Net presenr value
A
Net present value of future cashflows-initial investment
5
Q
Profitability index
A
Present value of future investments/initial investment
6
Q
Wacc
A
E D
(—-x Re)+( ( —–x Rd) x (1-Tc) )
E+D E+D
7
Q
Revenue at desired profit level
A
R=(In+F)/CMRW
8
Q
Pretax income
A
Ib=IN/(1-t)
9
Q
Revenue income tax
A
R=F+Ib/CMRW
10
Q
Lockbox
A
B=C/IxT
11
Q
Effectice interesr rate
A
Cash discount/invoice amount-cash discount x 365/days difference
12
Q
EIR
A
Annual interest/Loan-comp.balance
