DuPont and Cash Gap formulas

Asset Turnover

Sales / Total Assets

Return on Equity Ratio

Net income / Total equity

Profit margin

Net income / Sales

Assets to equity

Assets / equity

Cash Gap

Days inventory held + Days sales outstanding - days payable outstanding

Inventory Turnover ratio

COGS / Inventory

Receivable turnover

Sales / Accounts recievable

Accounts payable turnover

COGS / Accounts payable

Average tax rate

Tax liability / Taxable income

Effective tax rate

Tax liability / All income

Marginal tax rate

Tax rate applied to the next additional increment of income

Assets increase with credit or debit?

Debit

Expenses increase with credit or debit?

Debit

Dividends increase with debit or credit?

Debit

Liabilities increase with a credit or debit?

Credit

Owners equity increase with a credit or debit?

Credit

Revenue increases with credit or debit?

Credit

Contra asset increases with credit or debit?

Credit

Left or right debit?

Left

Left or right credit?

Right

Net income

Revenue - expenses

Assets =

Liabilities + Equities

Total paid in capital per share

Par Value + Additional Paid-in Capital (APIC)