Ratios - FAR CPA Exam
Quick Ratio
(Current Assets- Inventory)/ Liabilities
Earnings Per Share
(Net Income- Preferred Dividends)/ Weighted Average Common Shares Outstanding
Gross (Profit) Margin
(Net Sales - Cost of Goods Sold)/ Net Sales
Dividend Payout
Cash Dividends/ Net Income
Operating Cash Flow Ratio
Cash Flow from Operations / Current Liabilities
Accounts Payable Turnover
Cost of Goods Sold / Average Accounts Payable
Inventory Turnover
Cost of Goods Sold/Average Inventory
Current Ratio
Current Assets/Current Liabilities
Cash Conversion Cycle
Days Sales in Accounts Receivable + Days in Inventory - Day of Payables Outstanding
Times Interest Earned
EBIT/ interest expense
Return on Sales
EBIT/Net Sales
Days of Payables Outstanding
Ending Accounts Payable/ (Cost of Goods Sold/365)
Days Sales in Accounts Receivable
Ending Accounts Receivable (net)/ (Net Sales/365)
Days in Inventory
Ending Inventory/ (Cost of Goods Sold/365)
Return on Assets
Net Income/ Average Total Assets
Return on Equity
Net Income/ Average Total Equity
Profit Margin
Net Income/ Net Sales
Asset Turnover
Net Sales/ Average total assets
Price Earnings Ratio
Price per share/ Basic Earnings per Share
DuPont Return on Assets
Profit Margin x Asset Turnover
Accounts Receivable Turnover
Sales (net)/Average Accounts Receivable (net)
Equity Multiplier
Total Assets/Total Equity
Debt to Equity Ratio
Total Liabilities/Total Equity
Total Debt Ratio
total liabilities/total assets
