formulas

Question 1

market to book ratio

Answer 1

market value/book value

Question 2

EVA (economic value added

Answer 2

net income+after tax finance expense-(cost of capitalization x total market capitalization)

Question 3

Return on capital

Answer 3

ROC=NOPAT/total capitalization

Question 4

Return on assets

Answer 4

ROA=NOPAT/total assets

Question 5

return on equity

Answer 5

next income/equity

Question 6

Asset turnover ratio

Answer 6

revenues/total assets at the beginning of the year

Question 7

inventory turnover

Answer 7

cost of sales/average inventories

Question 8

average days in inventory

Answer 8

average inventory/(cost of sales/365)

Question 9

receivables turnover

Answer 9

revenues/average trade receivables

Question 10

average collection period

Answer 10

average trade receivables/average daily revenue

Question 11

operating profit margin

Answer 11

NOPAT/sales

Question 12

dupont formula

Answer 12

ROA=asset turnover x profit margin

Question 13

long term debt to equity ratio

Answer 13

long term debt+value of leases/preferred and common equity

Question 14

debt to asset ration

Answer 14

total debt/total assets

Question 15

times interest earned

Answer 15

EBIT/interest expense

Question 16

cash coverage ratio

Answer 16

EBIT+depreciation and amortization

Question 17

net working capital

Answer 17

current assets- current liabilities

Question 18

current ratiosustainable growth raten

Answer 18

net current assets/net current liabilities

Question 19

quick ratio

Answer 19

cash and cash equivalents+current other investments+trade receivables / current liabilities

Question 20

cash ration

Answer 20

cash/current liabilities

Question 21

payout ration

Answer 21

dividends/earnings

Question 22

sustainable growth rate

Answer 22

plowback/return on equity