Accounting Exam 2 Formulas

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22 Terms

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Total Debits
Total Credits
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Assets
Liabilities + Stockholders' Equity
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Assets (Expanded Equation)
Liabilities + Common Stock + Beginning Retained Earnings + Revenues - Expenses - Dividends
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Accounts with Normal Debit Balance (Increase with Debit, Decrease with Credit)
Dividends, Expenses, Assets, Losses (DEAL)
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Accounts with Normal Credit Balance (Increase with Credit, Decrease with Debit)
Gains, Income / Revenues, Liabilities, Stockholders' Equity (GIRLS)
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Annual Depreciation
(Historical Cost - Salvage Value) / Useful Life (in years)
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Net Change in Cash
Cash Flow from Operating Activities (CFO) + Cash Flow from Investing Activities (CFI) + Cash Flow from Financing Activities (CFF)
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Common Stock (Par Value)
Number of Shares Issued * Par Value per Share
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Total Cash Raised from Issuance
Number of Shares Issued * Issue Price per Share (or Common Stock + APIC)
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Additional Paid-In Capital (APIC)
Number of Shares Issued * (Issue Price per Share - Par Value per Share)
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ROE (DuPont 3-Stage Formula)
(Net Income / Sales) * (Sales / Total Assets) * (Total Assets / Total Equity)
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ROE (DuPont Components)
Profit Margin * Asset Turnover * Financial Leverage
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Common-Size Balance Sheet Items
Divide by Total Assets
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Common-Size Income Statement Items
Divide by Total Sales
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Days Inventory Held
Days in Period / (COGS / Inventory)
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Days Sales Outstanding
Days in Period / (Sales / Accounts Receivable)
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Days Payable Outstanding
Days in Period / (COGS / Accounts Payable)
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Gross Income
Sum of All Inclusions (Wages/Salaries + Taxable Interest + Dividends + Business Income + Net Capital Gains + Other Income)
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Adjusted Gross Income (AGI)
Gross Income - Above-the-Line Deductions (Adjustments)
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Taxable Income
AGI - [Greater of Standard Deduction OR Itemized Deductions] - Qualified Business Income (QBI) Deduction
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Gross Tax Liability
Tax Calculated via Tax Brackets on Taxable Income
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Total Tax Due / (Refund)
Gross Tax Liability - Nonrefundable Tax Credits + Other Taxes - Refundable Tax Credits - Total Tax Payments & Withholding