Yara Fadi Elbechara
Financial Management Cheat Sheet: Essential Formulas for Students
Financial Ratios
Earnings Per Share (EPS)
EPS= Net Income/Shares
Dividends Per Share (DPS)
DPS= Dividends/Shares
Current Ratio (CR)
CR= Assets/Liabilities
Acid-Test Ratio (Quick)
Quick= (Assets-Inventory)/Liabilities
Inventory Turnover
Turnover= COGS/Inventory
Days Sales in Inventory (DSI)
DSI= 365/Turnover
Average Collection Period (ACP)
ACP= Accounts Receivable/Daily Credits Sales
Daily Credits Sales (DCS)
DCS= Sales/365
Time Value of Money
Present Value (PV)
PV= FV/(1+i) ^n
Future Value (FV)
FV= PV/(1+i) ^n
Rule of 72
Time (years)= 72/Rate (%)
Financial Management Cheat Sheet: Essential Formulas for Students
Financial Ratios
Earnings Per Share (EPS)
EPS= Net Income/Shares
Dividends Per Share (DPS)
DPS= Dividends/Shares
Current Ratio (CR)
CR= Assets/Liabilities
Acid-Test Ratio (Quick)
Quick= (Assets-Inventory)/Liabilities
Inventory Turnover
Turnover= COGS/Inventory
Days Sales in Inventory (DSI)
DSI= 365/Turnover
Average Collection Period (ACP)
ACP= Accounts Receivable/Daily Credits Sales
Daily Credits Sales (DCS)
DCS= Sales/365
Time Value of Money
Present Value (PV)
PV= FV/(1+i) ^n
Future Value (FV)
FV= PV/(1+i) ^n
Rule of 72
Time (years)= 72/Rate (%)