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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. At Cost
= --Dividend Payout ratio x profit before tax
= Total Liabilities and equity -- current assets -- net fixed assets
= Net Fixed Assets -- Deprecitation
= --Interest rate on debt x [Debt (yr0+1) ] /2

2. Accumulated Retained Earnings
= Sales (yr1) x Current Liabilities/Sales Ratio
= Accumulated Retained Earnings (y0) +Retained Earnings
= Current liabilities + Debt + Stock + Accumulated Retained Earnings
= Total Liabilities and equity -- current assets -- net fixed assets

3. Other Current Assets
= sales( from yr 0) x (1+sales growth)
= --Depreciation rate x [FA At Cost (yr 0+1) ] /2
= Sales (yr1) x Current Assets/ Sales Ratio
= Sales x Current Assets/Sales Ratio

4. Interest Payments on Debt
= -- sales(yr1) x COGS/Sales Ratio
= --Interest rate on debt x [Debt (yr0+1) ] /2
= Net Fixed Assets -- Deprecitation
= Sales + COGS + Depreciation + Interest on Debt + Intest earned on cash and marketable securities

5. Profit after Tax
= Accumulated Retained Earnings (y0) +Retained Earnings
= -- Profit before tax x Tax Rate
= Current liabilities + Debt + Stock + Accumulated Retained Earnings
= Profit before tax + taxes

6. Depreciation
= --Interest rate on debt x [Debt (yr0+1) ] /2
= Net Fixed Assets -- Deprecitation
= -- Profit before tax x Tax Rate
= --Depreciation rate x [FA At Cost (yr 0+1) ] /2

7. Cash (plug figure)
= Accumulated Retained Earnings (y0) +Retained Earnings
= --Interest rate on debt x [Debt (yr0+1) ] /2
= Total Liabilities and equity -- current assets -- net fixed assets
= Sales x Current Assets/Sales Ratio

8. Sales
= sales( from yr 0) x (1+sales growth)
= Current liabilities + Debt + Stock + Accumulated Retained Earnings
= Accumulated Retained Earnings (y0) +Retained Earnings
= Net Fixed Assets + Other Current Assets + Cash

9. Current Liabilities
= Sales x Current Assets/Sales Ratio
= Total Liabilities and equity -- current assets -- net fixed assets
= --Depreciation rate x [FA At Cost (yr 0+1) ] /2
= Sales (yr1) x Current Liabilities/Sales Ratio

10. Stock
= Stock (y0)
= Sales + COGS + Depreciation + Interest on Debt + Intest earned on cash and marketable securities
= Profit before tax + taxes
= -- Profit before tax x Tax Rate

11. Debt
= Stock (y0)
= Depreciation (yr0) -- [Depreciation Rate x FA At Cost (y0+1)] /2
= Sales (yr1) x Current Liabilities/Sales Ratio
= Debt (y0) -- Debt repayment amount

12. Retained Earnings
= Total Liabilities and equity -- current assets -- net fixed assets
= Dividends + Profit After Tax
= Net Fixed Assets -- Deprecitation
= -- sales(yr1) x COGS/Sales Ratio

13. Profit Before Tax
= -- sales(yr1) x COGS/Sales Ratio
= Sales + COGS + Depreciation + Interest on Debt + Intest earned on cash and marketable securities
= Accumulated Retained Earnings (y0) +Retained Earnings
= Depreciation (yr0) -- [Depreciation Rate x FA At Cost (y0+1)] /2

14. Cost of Goods Sold
= Sales + COGS + Depreciation + Interest on Debt + Intest earned on cash and marketable securities
= -- Profit before tax x Tax Rate
= --Interest rate on debt x [Debt (yr0+1) ] /2
= -- sales(yr1) x COGS/Sales Ratio

15. Total Liabilites and Equity
= Current liabilities + Debt + Stock + Accumulated Retained Earnings
= -- Profit before tax x Tax Rate
= -- sales(yr1) x COGS/Sales Ratio
= Interest earned on cash balances rate x [Cash (yr 0 +1)] /2

16. Accumlated Depreciation
= Depreciation (yr0) -- [Depreciation Rate x FA At Cost (y0+1)] /2
= Stock (y0)
= Net Fixed Assets -- Deprecitation
= Interest earned on cash balances rate x [Cash (yr 0 +1)] /2

17. Dividends
= Dividends + Profit After Tax
= -- Profit before tax x Tax Rate
= Current liabilities + Debt + Stock + Accumulated Retained Earnings
= --Dividend Payout ratio x profit before tax

18. Net Fixed Assets
= Sales (yr1) x Current Assets/ Sales Ratio
= Interest earned on cash balances rate x [Cash (yr 0 +1)] /2
= Sales x Current Assets/Sales Ratio
= Depreciation (yr0) -- [Depreciation Rate x FA At Cost (y0+1)] /2

19. Total Assets
= Net Fixed Assets + Other Current Assets + Cash
= Profit before tax + taxes
= --Dividend Payout ratio x profit before tax
= Depreciation (yr0) -- [Depreciation Rate x FA At Cost (y0+1)] /2

20. Interest earned on cash and other marketable securities
= --Dividend Payout ratio x profit before tax
= --Depreciation rate x [FA At Cost (yr 0+1) ] /2
= Net Fixed Assets + Other Current Assets + Cash
= Interest earned on cash balances rate x [Cash (yr 0 +1)] /2

21. Taxes
= --Interest rate on debt x [Debt (yr0+1) ] /2
= --Dividend Payout ratio x profit before tax
= Depreciation (yr0) -- [Depreciation Rate x FA At Cost (y0+1)] /2
= -- Profit before tax x Tax Rate