FSA Exam- Equations And Answers
/Current Ration - Answer-Current Assets/ Current Liabilities
/.Acid-Test ratio - Answer-Cash+ Short Term Investments+ Current Receivables/
Current Liabilities
/.Accounts Receivable Turnover - Answer-Net Sales/ Average Accounts receivable, net
/.Inventory Tunrover - Answer-Cost of Good sold/ Average Inventory
/.Debt Ration - Answer-Total Liabilities/ Total Assets
/.Equity Ratio - Answer-total equity/total assets
/.Debt-to-equity ratio - Answer-total liabilities/total equity
/.Time Interest Earned - Answer-Income before Interest and income tax expense/
interest expense
/.Profit Margin Ratio - Answer-net income/net sales
/.Gross Margin Ratio - Answer-(Net Sales - Cost of Goods Sold) / Net Sales
/.Return on Total Assets - Answer-Net Income/ Average Total Assets
/.Return on common stockholder's equity - Answer-(Net Income-Preferred dividends)
/Average common stockholder's equity
/.Basic Earnings per share - Answer-net income - preferred dividends / weighted
average common shares outstanding
/.Price-earnings Ratio - Answer-market price per common share / earnings per share
/.Dividend yield - Answer-annual cash dividends per share / market price per share
/.Day's sales uncollected - Answer-(accounts receivable, net/net sales) x 365
/.Day's Sales in Inventory - Answer-(ending inventory/cost of goods sold) x 365
/.Total Asset Turnover - Answer-net sales/average total assets
/.
/Current Ration - Answer-Current Assets/ Current Liabilities
/.Acid-Test ratio - Answer-Cash+ Short Term Investments+ Current Receivables/
Current Liabilities
/.Accounts Receivable Turnover - Answer-Net Sales/ Average Accounts receivable, net
/.Inventory Tunrover - Answer-Cost of Good sold/ Average Inventory
/.Debt Ration - Answer-Total Liabilities/ Total Assets
/.Equity Ratio - Answer-total equity/total assets
/.Debt-to-equity ratio - Answer-total liabilities/total equity
/.Time Interest Earned - Answer-Income before Interest and income tax expense/
interest expense
/.Profit Margin Ratio - Answer-net income/net sales
/.Gross Margin Ratio - Answer-(Net Sales - Cost of Goods Sold) / Net Sales
/.Return on Total Assets - Answer-Net Income/ Average Total Assets
/.Return on common stockholder's equity - Answer-(Net Income-Preferred dividends)
/Average common stockholder's equity
/.Basic Earnings per share - Answer-net income - preferred dividends / weighted
average common shares outstanding
/.Price-earnings Ratio - Answer-market price per common share / earnings per share
/.Dividend yield - Answer-annual cash dividends per share / market price per share
/.Day's sales uncollected - Answer-(accounts receivable, net/net sales) x 365
/.Day's Sales in Inventory - Answer-(ending inventory/cost of goods sold) x 365
/.Total Asset Turnover - Answer-net sales/average total assets
/.
