BUSINESS FINANCE教学资料 MAN2089 Mid-term test Formula Sheet-SurreyLearn.pdfVIP

UNIVERSITY OF SURREY BUSINESS FINANCE - MAN2089 Mid-term test Formula Sheet (Lecture 1 – Lecture 4) 1. FV = PV(1 + r)t t 2. PV = FV / (1+ r)t t 3. t = ln (FV / PV) / ln (1 + r) t 4. r = (FV / PV)1/t - 1 t Where: PV = Present Value; FV = Future Value at t period; r = Interest or Discount rate (in decimal); t t = number of period (e.g. years) 5. Average Tax Rate = Tax bill / Taxable income 6. Current ratio = Current assets / Current liabilities 7. Quick ratio = (Current assets – Inventory) / Current liabilities 8. Cash ratio = Cash and cash equivalents / Current liabilities 9. Total debt ratio = (Total assets – Total equity) / Total assets 10. Debt-equity ratio = Total debt / Total equity 11. Equity multiplier = Total assets / Total equity 12. Times interest earned ratio = EBIT / Interest Where EBIT = Earnings before interest and taxes 13. Cash coverage ratio = (EBIT + Depreciation) / Interest 14. Inventory turnover = Cost of goods sold / Inventory 15. Days’ sales in inventory = 365 days / Inventory turnover 16. Receivables turnover = Sales / Trade receivables 17. Days’ sales in receivables = 365/ Receivables turnover 18. Total asset turnover = Sales / Total assets 19. Profit margin = Net income / Sales 20. Return on assets (ROA) = Net income / Total assets 2 1. Return on equity (ROE) = Net income / Total equity 22. Earnings per share (EPS) = Net income / Shares outstanding 1 23. Price-earnings (PE) ratio = Price per share / Earnings per share 24. Market-to-book ratio = Market value per share / Book value per share 25. PEG ratio = PE ratio / Growth rate 26. ROE = (Net incom