click below
click below
Normal Size Small Size show me how
Ratios
| Question | Answer |
|---|---|
| Return on capital employed | Np(before interest and tax)/ce x 100 = % |
| Rosf | Np(after tax and pref div)/shareholder funds x 100 = % |
| Acid test ratio | Current assets- closing stock to current liabilities (ideal 1 to 1) |
| Gearing | Loans+pref shares+debentures/ce x 100= % |
| Interest cover | Np(before int)/int = times |
| Stock turnover | Cos/avg stock = times |
| Average stock | Opening stock + closing stock/2 = £ |
| Debtors days | Debtors/ credit sales x 365 = days |
| Creditors days | Creditors/credit purchases x365 |
| Eps | Np(after pref div)/no of shares x 100 = cent |
| P/e ratio | Mv/eps = years |
| Dps | Ord div/no of shares x 100 = cent |
| Dividend yield | Dps/mv x 100 = % |
| Dividend cover | Np(after pref div)/ord div = times |