Formulas series 7

Question 1

dividend yield

Answer 1

annual dividend/current market price

Question 2

current yield

Answer 2

annual interest/ current market price

Question 3

number of shares conversion

Answer 3

par value/ conversion price

in questions it looks like conversion price/ (par% to potential stock div%)

Question 4

parity

Answer 4

bond market value/number of shares

in text it looks like 1000 / bond convertible amount
* current market value

Question 5

tax free equivalent yield

Answer 5

corporate rate*(100-tax bracket)

Question 6

tax-equivalent yield

Answer 6

municipal rate/(100%-tax bracket)

Question 7

nav of mutual fund shares

Answer 7

funds nav/number of shares outstanding

Question 8

sales charge percentage

Answer 8

POP-NAV/POP

Question 9

Public offering price

Answer 9

NAV per share/ (100%-sales charge percentage)

Question 10

dollar cost average

Answer 10

total dollars invested/number of shares purchased

Question 11

average market price

Answer 11

shares of total/number of investments

Question 12

number of outstanding shares

Answer 12

issued shares-treasury shares

Question 13

shareholders equity

Answer 13

assets-liabilities