Exam 2 Formulas Flashcards
1
Q
Return on Assets (ROA)
A
Net Income/Total Assets
2
Q
Return on Equity (ROE)
A
Net income/Equity
3
Q
Return on invested capital (ROIC)
A
NOPLAT/Invested capital
=operating profit(1-tax rate)/ (inventory +PPE-AP)
4
Q
NOPLAT
A
Operating Profit x (1-tax rate)
5
Q
Invested capital
A
Working capital + PPE
6
Q
Working capital
A
Working cash+accounts recievable+inventories-accounts payable-accrued expenses
7
Q
Operating margin
A
NOPLAT/Revenues
8
Q
Operating profit
A
Revenues-cost of sales- selling costs- depreciation- taxes
9
Q
Capital turnover
A
Revenues/average invested capital
10
Q
Cash
A
Current assets-(receivables+inventories+other current assets)
