MKT value of assets/Replacement cost of assets

MKT value of assets/Replacement cost of assets

Balance Sheet Identity equation

 

·         Assets = Liabilities + Shareholders' Equity

 

Income Statement equation

 

·         Revenues - Expenses = Net Income

 

Cash Flow Identity

 

·         CF from Assets = CF to Creditors + CF to Stockholders

 

CF from Assets

 

·         operating CF - net capital spending - change in NWC

 

operating CF

 

·         EBIT + Depreciation - Taxes

 

Net capital spending

 

·         ending net fixed assets - beginning net fixed assets + depreciation

 

CF to creditors

 

·         interest paid - net new borrowing

 

CF to stockholders

 

·         dividends paid - net new equity raised

 

Current ratio

 

·         CA/CL

 

Quick/Acid-test ratio

 

·         (Current Assets - Inventory) / Current Liabilities

 

Cash ratio

 

·         Cash/CL

 

NWC to Total Assets ratio

 

·         NWC/TA

 

Interval measure

 

·         CA/avg. daily operating costs

 

Total debt ratio

 

·         (TA-TE)/TA

 

Debt-equity ratio

 

·         Total Debt/TE

 

Equity multiplier

 

·         TA/TE

 

Long-term debt ratio

 

·         LTD/(LTD+TE)

 

Times interest earned ratio

 

·         EBIT/Interest

 

Cash coverage ratio

 

·         (EBIT + Depreciation) / Interest

 

Inventory turnover

 

·         COGS/Inventory

 

Days' sales in Inventory.

 

·         365 days / inventory turnover

 

Receivables Turnover

 

·         Sales/AR

 

NWC turnover

 

·         Sales/NWC

 

Fixed Asset turnover

 

·         Sales/Net Fixed Assets

 

Total Asset turnover

 

·         Sales/TA

 

Profit margin

 

·         NI/Sales

 

ROA

 

·         NI/TA

 

ROE

 

·         NI/TE

 

Price-earnings ratio

 

·         PPS/EPS

 

PEG ratio

 

·         Price Earnings Ratio / Earnings Growth Rate (%)

 

Price-sales

 

·         PPS/Sales per share

 

Market-to-book-ratio

 

·         Mkt Value per share/Book Value per Share

 

Tobin's Q ratio

 

·         MKT value of assets/Replacement cost of assets

 

Enterprise value-EBITDA ratio

 

·         Enterprise Value / EBITDA

 

Dividend Payout ratio

 

·         Cash Dividends/NI

 

Internal Growth rate

 

·         ROA x b / 1 - ROA x b

 

FV

 

·         $ x (1+r)^t

 

PV

 

·         $/(1+r)^t