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Financial Forecasting And Modeling Equations

Instructions:

Answer 21 questions in 15 minutes.
If you are not ready to take this test, you can study here.
Match each statement with the correct term.
Don't refresh. All questions and answers are randomly picked and ordered every time you load a test.

This is a study tool. The 3 wrong answers for each question are randomly chosen from answers to other questions. So, you might find at times the answers obvious, but you will see it re-enforces your understanding as you take the test each time.

1. Total Assets
= Sales (yr1) x Current Liabilities/Sales Ratio
= Net Fixed Assets + Other Current Assets + Cash
= Dividends + Profit After Tax
= --Depreciation rate x [FA At Cost (yr 0+1) ] /2

2. Taxes
= Net Fixed Assets -- Deprecitation
= --Depreciation rate x [FA At Cost (yr 0+1) ] /2
= -- Profit before tax x Tax Rate
= --Dividend Payout ratio x profit before tax

3. Net Fixed Assets
= Debt (y0) -- Debt repayment amount
= Sales (yr1) x Current Assets/ Sales Ratio
= --Depreciation rate x [FA At Cost (yr 0+1) ] /2
= Profit before tax + taxes

4. Profit after Tax
= Profit before tax + taxes
= --Dividend Payout ratio x profit before tax
= Depreciation (yr0) -- [Depreciation Rate x FA At Cost (y0+1)] /2
= sales( from yr 0) x (1+sales growth)

5. Profit Before Tax
= Total Liabilities and equity -- current assets -- net fixed assets
= Sales (yr1) x Current Liabilities/Sales Ratio
= Sales + COGS + Depreciation + Interest on Debt + Intest earned on cash and marketable securities
= Depreciation (yr0) -- [Depreciation Rate x FA At Cost (y0+1)] /2

6. Other Current Assets
= Sales + COGS + Depreciation + Interest on Debt + Intest earned on cash and marketable securities
= Net Fixed Assets -- Deprecitation
= Sales x Current Assets/Sales Ratio
= Sales (yr1) x Current Liabilities/Sales Ratio

7. At Cost
= Net Fixed Assets + Other Current Assets + Cash
= Net Fixed Assets -- Deprecitation
= sales( from yr 0) x (1+sales growth)
= --Interest rate on debt x [Debt (yr0+1) ] /2

8. Total Liabilites and Equity
= Current liabilities + Debt + Stock + Accumulated Retained Earnings
= Sales + COGS + Depreciation + Interest on Debt + Intest earned on cash and marketable securities
= Stock (y0)
= Sales x Current Assets/Sales Ratio

9. Cash (plug figure)
= Total Liabilities and equity -- current assets -- net fixed assets
= Net Fixed Assets -- Deprecitation
= Net Fixed Assets + Other Current Assets + Cash
= Profit before tax + taxes

10. Dividends
= Sales (yr1) x Current Liabilities/Sales Ratio
= Stock (y0)
= sales( from yr 0) x (1+sales growth)
= --Dividend Payout ratio x profit before tax

11. Current Liabilities
= -- Profit before tax x Tax Rate
= Sales (yr1) x Current Liabilities/Sales Ratio
= Profit before tax + taxes
= --Interest rate on debt x [Debt (yr0+1) ] /2

12. Interest Payments on Debt
= Profit before tax + taxes
= --Interest rate on debt x [Debt (yr0+1) ] /2
= -- sales(yr1) x COGS/Sales Ratio
= Debt (y0) -- Debt repayment amount

13. Stock
= Stock (y0)
= Sales (yr1) x Current Assets/ Sales Ratio
= Net Fixed Assets -- Deprecitation
= Dividends + Profit After Tax

14. Accumlated Depreciation
= Dividends + Profit After Tax
= Total Liabilities and equity -- current assets -- net fixed assets
= Depreciation (yr0) -- [Depreciation Rate x FA At Cost (y0+1)] /2
= Stock (y0)

15. Debt
= -- sales(yr1) x COGS/Sales Ratio
= -- Profit before tax x Tax Rate
= Debt (y0) -- Debt repayment amount
= Sales (yr1) x Current Liabilities/Sales Ratio

16. Cost of Goods Sold
= Sales + COGS + Depreciation + Interest on Debt + Intest earned on cash and marketable securities
= -- sales(yr1) x COGS/Sales Ratio
= Profit before tax + taxes
= Sales (yr1) x Current Assets/ Sales Ratio

17. Retained Earnings
= Dividends + Profit After Tax
= --Dividend Payout ratio x profit before tax
= sales( from yr 0) x (1+sales growth)
= Net Fixed Assets -- Deprecitation

18. Accumulated Retained Earnings
= Sales (yr1) x Current Assets/ Sales Ratio
= --Dividend Payout ratio x profit before tax
= Net Fixed Assets -- Deprecitation
= Accumulated Retained Earnings (y0) +Retained Earnings

19. Sales
= sales( from yr 0) x (1+sales growth)
= Profit before tax + taxes
= Net Fixed Assets -- Deprecitation
= Sales (yr1) x Current Assets/ Sales Ratio

20. Depreciation
= --Depreciation rate x [FA At Cost (yr 0+1) ] /2
= Stock (y0)
= Net Fixed Assets -- Deprecitation
= --Interest rate on debt x [Debt (yr0+1) ] /2

21. Interest earned on cash and other marketable securities
= Sales (yr1) x Current Assets/ Sales Ratio
= Interest earned on cash balances rate x [Cash (yr 0 +1)] /2
= Current liabilities + Debt + Stock + Accumulated Retained Earnings
= Total Liabilities and equity -- current assets -- net fixed assets