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46 Cards in this Set
- Front
- Back
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Current Ratio
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Current Assets / Current Liabilities
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Quick Ratio
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(Current Assets - Inventory)
/ Current Liabilities |
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Cash Ratio
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Cash / Current Liabilities
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Days' Sales in Receivables
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365 / Receivables Turnover
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Capital Intensity
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Total Assets / Sales
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Total debt ratio
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(total assets - total equity) / total assets
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debt-equity ratio
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total debt/ total equity
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equity multiplier
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total assets/total equity
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times interest earned ratio
(TIE) |
EBIT / interest
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cash coverage ratio
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(EBIT + depreciation) / interest
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Inventory Turnover
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COGS / Inventory
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Days' Sales in Inventory
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365 / Inventory turnover
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Receivable turnover
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sales / accounts rec
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profit margin
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net income / sales
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ROA
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net income / total assets
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ROE
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net income / total equity
(NI / Sales) X (Sales / Assets) X (Assets / Equity) |
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PE Ratio
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price per share / earnings per share
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market-to-book ratio
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market value per share /
book value per share |
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FV of discrete compounding
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FV = PV*(1+r/m)^(mT)
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FV of continuous compounding
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FV = PV*e^(rT)
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Perpetuity
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PV = C/r
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Growing Perpetuity
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PV = C/(r-g)
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Annuity
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PV = (C/r)*[1/(1+r)^T]
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Growing Annuity
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PV = C*[(1-((1+g)/(1+r))^T)/(r-g)]
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Pure Discount Bond
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PV = F/(1+R)^T
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Level Coupon Bond
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PV = C*A + F/(1+R)^T
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Zero Growth Valuation
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P = Div1/R
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Constant Growth Value Model
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P = Div1/(R-g)
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g
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Retention Ratio X Return on RE
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R
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Div1/P + g
or div yield + capital gains yield |
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Cash Cow Value
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EPS/R
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NPVGO Model Value
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EPS/R + NPVGO
Cash Cow + Reinvestment = EPS/R + NPVGO1/(R-g) with NPVGO1 = -(RE Retention rate X EPS) + (RE rention rate X EPS)/R |
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OCF
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EBIT
+Depr -Taxes |
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Capital Spending
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Ending Net FA
-Beginning Net FA +Depr |
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Net Working Capital
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CA - CL
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CF to Creditors
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Interest
-Ending LT Debt +Beginning LT Debt |
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CF to Shareholders
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Div
-Stock Sold +Stock Repurchased |
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MM Prop I (no taxes)
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V(L) = V(U)
capital budgeting has no effect on value |
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MM Prop II (no taxes)
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R(S) = R(0) + (B/S)*(R(0)-R(B))
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R(WACC)
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S/(B+S) * R(S) + B/(B+S) * R(B)
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R(0)
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expected earnings of unlevered firm
/ unlevered equity |
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Tax Shield
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t(c)*R(B)*B
PV = t(c)*B |
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MM Prop I (With Taxes)
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V(L) = (EBIT X (1 - t(c))/ R(0)
+ t(c)*B or V(L) = V(u) + t(c)*B |
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MM Prop II (With Taxes)
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R(S) = R(0) + (B/S)*(1-t(c))*(R(0)-R(B))
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Value of Equity with taxes
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S = [(EBIT * R(B)*B) * (1-t(c))] / R(S)
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R(WACC) with taxes
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(S/V(L))*R(S) + (B/V(L)) * R(B) * (1-t(c))
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