R02 Equations Flashcards
The equation to know interest yield on gilt=
(Coupon/price) x 100
The equation for price earning ratio=
share price/earnings per share
The equation for dividend cover on an individual basis?
profit attributable ordinary shareholders/dividend paid to ordinary shareholders
The net asset value (NAV)
Net asset attributable to ordinary shareholders/number of ordinary shares in issue
The equation for dividend cover on a total profit basis?
earning per share/dividend per share
What is the equation for Sharpe ratio?
return on the investment - risk free return/standard deviation of return on the investment
What is the formula for CAPM?
=risk free return+beta(market return-risk free)
What is the formula of running yield?
annual coupon/price paid for giltx100
What type of share is being described here: ‘‘These shares take priority over other share types when dividends are paid. Dividends are usually paid half-yearly at a fixed rate. These shares generally have no voting rights.’
Preference shares
