A/P Turnover (Activity) 1a
COGS Avg A/P 1b
A/R Turnover (Activity) 2a
Net Credit Sales Avg Net Receivables [A/R quality & success in collecting outstanding A/R] 2b
A/R Turnover in Days (Activity) 3a
Avg Net Receivables (Net Credit Sales 365) [Avg # of days to collect A/R] 3b
Acid-Test Ratio (Liquidity) 4a
(Cash Equiv + Mrktbl Securites + Net Receivables) Current Liabilities 4b
Book Value Per Share (Investor) 5a
(Total Stockholders' Equity - Preferred Stock Liquidity Value) # of Common Shares Outstanding [Amt of Stockholder's Equity that relates to each share of Common Stock 5b
Cash Ratio (Liquidity) 6a
(Cash Equiv + Mrktbl Securites) Current Liabilities 6b
Current Ratio (WC Ratio) (Liquidity) 7a
Current Assets Current Liabilities 7b
Days in A/P (Activity) 8a
Avg A/P (COGS 365) 8b
Debt / Equity (LT Debt Paying Ability) 9a
Total Liabilities Common Stockholders' Equity [Degree of protection to creditors in case of insolvency] 9b
Debt Ratio (LT Debt Paying Ability) 10a
Total Liabilities Total Assets [% of Assets financed by creditors] 10b
Degree of Financial Leverage (Investor) 11a
Earnings Before Interest & Taxes Earnings Before Taxes [Factor by which NI will change with a change in EBIT) 11b
Dividend Payout Ratio (Investor) 12a
Dividends Per Common Share Diluted Earnings Per Share [Portion of Current Earnings being paid out in dividends] 12b
Dividend Yield (Investor) 13a
Dividends Per Common Share Market Price Per Common Share [Relationship between Dividends & Market Price] 13b
Earnings Per Share (Investor) 14a
(Net Income - Preferred Dividends) Wghtd Avg # of Common Shares Outstanding 14b
Gross (Profit) Margin Percentage (Profitability) 15a
Gross (Profit) Margin Net Sales 15b
Inventory Turnover (Activity) 16a
COGS Avg Inventory [How quickly inventory is sold] 16b
Inventory Turnover in Days (Activity) 17a
Avg Inventory (COGS 365) [Avg # of days to sell inventory] 17b
Memorization Trick 18a
Any 'margin' ratio is something divided by sales Any 'turnover' ratio is sales (or a variation of sales) divided by something Any 'return on' ratio is net income (or a variation of net income) divided by something 18b
Net Operating Margin Percentage (Profitability) 19a
(Net Operating Income) Net Sales 19b
Net Profit Margin (Profitability) 20a
Net Income Net Sales 20b
Operating Cash Flow / Total Debt (LT Debt Paying Ability) 21a
Operating Cash Flow Total Debt [Ability to cover Total Debt with yearly cash flow] 21b
Operating Cash Flow Per Share (Profitability) 22a
Operating Cash Flow Common Shares Outstanding 22b
Operating Cycle (Activity) 23a
AR Turnover in Days + Inventory Turnover in Days [# of days between acquisition of inventory & realization of cash from selling inventory] 23b
Price/Earnings Ratio (Investor) 24a
Market Price Per Share Diluted Earnings Per Share [Investment Potential] 24b
Return on Assets (Profitability) 25a
(Net Income Net Sales) x (Net Sales Avg Total Assets) 25b
Return on Common Equity (Profitability) 26a
(Net Income - Preferred Dividends) Avg Common Equity 26b
Return on Investment (Profitability) 27a
(Net Income + Int Exp (1- TxRt)) Avg (LT Liab + Equity) 27b
Return on Total Assets (Profitability) 28a
Net Income Avg Total Assets 28b
Times Interest Earned (LT Debt Paying Ability) 29a
(Recurring Income Before Taxes & Interest) Interest [Ability of company to cover Interest charges] 29b
Total Asset Turnover (Activity) 30a
Net Sales Avg Total Assets [The higher the better - >more effective asset use to generate sales] 30b
Working Capital (Liquidity) 31a
Current Assets - Current Liabilities 31b
Working Capital Turnover (Activity) 32a
Sales Avg Working Capital [how effectively WC is being used] 32b