ACCA F9

F9 Formulas

Inventory Turnover

COGS/Avg Inventory*365

Receivables Turnover

Credit Sales/Avg Receivables*365

Payables Turnover

Credit Purchases/Avg Payables*365

Cash Operating Cycle

Receivables Days + Inventory Days (FG,WIP,RM) - Payables Days

Variance

Std Deviation²

Interest Cover

PBIT/Interest

Interest Yield

(Interest/MV)*100%

Dividend Per Share

Dividend/No Shs

Dividend Cover

EPS/DPS

Dividend Yield

(DPS/MV per share)*100%

Earnings Per Share

Profit/Ord Shs

Price Earnings Ratio

MV Ord Shs/EPS

MV of Cumulative Dividend

MV Ex Dividend + Dividend about to be paid

ROCE

PBIT/Capital Employed or Profit Margin*Asset Turnover

Gearing

Debt/Equity or Prior Charge Capital/Equity Capital

Equivalent Annual Cost (EAC)

PV of Cost over one replacement cycle/Annuity Factor for no. years in cycle

Net Working Capital

Current Assets - Current Liabilities

Value of a Right

TERP - New Share Price

Operating Gearing

Contribution/PBIT

Buffer Inventory Level

Re-Order Level - (Avg Usage*Avg Lead time)

Average Inventory

Buffer + Re-order Quantity/2

Total Shareholder Return

((P1-P0) + Dividend)/P0

Cost of Equity

Ke = D1/P0+g

Cost of Debt

Kd = i*(1-t)/P0

Asset Turnover

Sales/Total Assets

Accounting Rate of Return (ARR)

(Average Annual Profit/Initial Investment)*100

Return on Equity

Net Income/Total Equity

Internal Rate of Return

a + (NPVa/NPVa - NPVb)*(b-a)

Theoretical Ex Rights Price (TERP)

((No. Old Shares*Old Share Price) + (No. new shares*New share price))/(Total no. shares (old and new)

Profitability Index (PI)

PV of Cash Inflows/Initial Cash Outflows

Earnings Yield

EPS/PPS

MV Redeemable Debt

PV of the cash flows of ownership discounted at the investors’ rate of return (pre-tax cost of debt).