Financial Ratio Analysis Reference 2006 PDF

Preview

Summary

Provide a deep understanding of the financial ratio...

Description

Financial Ratio Analysis A Cornerstone in Strategic Analysis Financial Ratio Analysis Income Statement Balance Sheet Statement of Cash Flows The Annual Report Income Statement Revenue Gross Profit Operating Income Net Earnings Earnings per Share Balance Sheet Purpose Assets Liabilities Stockholders’ Equity Statement of Cash Flows Purpose Key Numbers Net Cash provided (or used) by operating activities Net Cash provided (or used) by investing activities Net cash provide (or used) by financing activities Other Information Profitability and Investment Utilization Liquidity ad Stability Growth Profitability Ratios A. Cost of Goods Sold to Sales B. Gross Margin/Profit to Sales C. Operating Expenses D. Earnings Before Interest and Taxes to Sales E. Net Income to Profit/Profit Margin Return on Investment A. Return on Assets B. Return on Equity Investment Utilization A. Inventory Turnover B. Fixed Asset Turnover C. Total Asset Turnover Liquidity Ratios A. Current Ratio B. Acid Test Ratio C. Working Capital D. Age of Accounts Receivable E. Age of Inventory F. Age of Accounts Payable Stability Ratios A. Net Worth to Total Assets B. Debt to Equity C. Long-term Debt Interest Coverage Growth Ratios A. Sales Growth B. Profit Growth C. Asset Growth

1 1 1 1 1 2 2 2 2 3 3 4 4 4 5 5 6 6 6 6 7 7 8 9 9 9 10 10 10 10 11 11 11 11 11 12 12 13 13 14 14 14 14 15 15 16 16 16 17 17 17 17 18 18...