Numerator

Short-term Activity Ratios

Inventory Turnover Ratio COGS
Days Sales Outstanding 365
Receivables Turnover Ratio Sales
Days Rceivables Outstanding 365
Paybles Turnover Ratio Purchases
Days Payables Outstanding 365
Working Capital Turnover Ratio Sales
Long-term Activity Ratios
Fixed Assets Turnover Ratio Sales
Total Assets Turnover Ratio Sales
Length of Operating Cycle Days Inventory Held + Days Sales Outstanding
Length of Cash Cycle Days Inventory Held + Days Sales Outstanding - Days Payables Outst
 This model was developed to analyze ROE and the effects different bus
numbers from this model. Instead, they are looking to analyze what is ca
use this formula to pinpoint the problem area w

Once the problem area is found, management can attempt to correct it o

investors to be alarmed. For instance, accelerated depreciation artificial
and shouldnt
 This model was developed to analyze ROE and the effects different bus
numbers from this model. Instead, they are looking to analyze what is ca
use this formula to pinpoint the problem area w

Once the problem area is found, management can attempt to correct it o

investors to be alarmed. For instance, accelerated depreciation artificial
and shouldnt

The abnormal earnings valuation model is a method for determining a co

looks at whether management's decisions cause a company to perform
earnings are higher than expecte

Short-term Activity Ratios

Inventory Turnover Ratio
Days Sales Outstanding
Receivables Turnover Ratio
Days Rceivables Outstanding
Paybles Turnover Ratio
Days Payables Outstanding
Working Capital Turnover Ratio
Long-term Activity Ratios
Fixed Assets Turnover Ratio
Total Assets Turnover Ratio
Length of Operating Cycle
Length of Cash Cycle

Short-term Solvency or Working Capital Ratios

Current Ratio
Quick Ratio
Cash Ratio
Cash flow from Operations Ratio
Defensive Interval
Operating Leverage Ratio
Financial Leverage Ratio
Combined Leverage Ratio

Long-term Slvency Ratios

Debt to Total Capital Ratio

 Debt to Equity Ratio (BV basis)
DER (MV basis)
Times Interest Earned
Times Interest Earned (cash basis)
Fixed Charge Coverage Ratio
Fixed Charge Coverage Ratio (cash basis)
Capital Expenditure Ratio
Cash from operation to Debt Ratio

Profitability Analysis
Sales Basis
Gross Profit Margin
OperatingProfit Margin
EBIT Margin
Pre-tax Profit Margin
Net Profit Margin
Contribution Margin
Investment Basis
Return on Assets (Pre-tax basis)
Return on Assets (Post-tax basis)
Return On Total Capital (Pre-tax basis)
Return On Total Capital (Post-tax basis)
Return On Equity (Pre-tax basis)
Retunr On Equity (Post-tax basis)
Return on Common Equity
Basic EPS (common Equity)
Diluted EPS (Common Equity)
Cash Flows Per Share
EBIDTA Per Share
Book Value Per Share
 Denominator

Avg. Inventory
Inventory Turnover Ratio
Avg. Receivables
Receivables Turnover Ratio
Avg. Payables
Paybles Turnover Ratio
Avg. Working Capital

Avg. Fixed Assets

Avg. Total Assets
d + Days Sales Outstanding
Outstanding - Days Payables Outstanding
e ROE and the effects different business performance measures have on this ratio. So investors are not looking for large or small output
ey are looking to analyze what is causing the current ROE. For instance, if investors are unsatisfied with a low ROE, the management can
ula to pinpoint the problem area whether it is a lower profit margin, asset turnover, or poor financial leveraging.

agement can attempt to correct it or address it with shareholders. Some normal operations lower ROE naturally and are not a reason for
accelerated depreciation artificially lowers ROE in the beginning periods. This paper entry can be pointed out with the Dupont analysis
and shouldnt sway an investors opinion of the company.
e ROE and the effects different business performance measures have on this ratio. So investors are not looking for large or small output
ey are looking to analyze what is causing the current ROE. For instance, if investors are unsatisfied with a low ROE, the management can
ula to pinpoint the problem area whether it is a lower profit margin, asset turnover, or poor financial leveraging.

agement can attempt to correct it or address it with shareholders. Some normal operations lower ROE naturally and are not a reason for
accelerated depreciation artificially lowers ROE in the beginning periods. This paper entry can be pointed out with the Dupont analysis
and shouldnt sway an investors opinion of the company.

el is a method for determining a company's worth that is based on book value and earnings. Also known as the residual income model, it
isions cause a company to perform better or worse than anticipated. The model says that investors should pay more than book value if
earnings are higher than expected and less than book value if earnings are lower than expected

Numerator Denominator

COGS Avg. Inventory

365 Inventory Turnover Ratio
Sales Avg. Receivables
365 Receivables Turnover Ratio
Purchases Avg. Payables
365 Paybles Turnover Ratio
Sales Avg. Working Capital

Sales Avg. Fixed Assets

Sales Avg. Total Assets
Days Inventory Held + Days Sales Outstanding
ays Inventory Held + Days Sales Outstanding - Days Payables Outstanding

Current Assets Current Liabilities

Current Assets - Inventory Current Liabilities
Cash & Cash Equivalents Current Liabilities
Cash flow from Operations Current Liabilities
Cash & Cash Equivalents + Rceivables
Projected Expenditures
Sales - Variable Cost (Contribution) EBIT
EBIT EBT
Sales - Variable Cost (Contribution) EBT

Total Debt Total Capital

 Total Debt Total Capital
Total debt at Book ValueEquity at Market Value
EBIT Interest Expense
Adjusted Cash from operationsInterest Expense
EBIT Fixed Charges
Adjusted Cash from operations Fixed Charges
Cash from operations Capital Expenditure
Cash from operations Total Debt

Gross Profit Sales

Operating Profit Sales
EBIT Sales
PBT Sales
Net Profit Sales
Contribution Sales

EBIT Avg. Total Assets

Net Income + After tax interest cost (NOPAT)
Avg. Total Assets
EBIT Avg. Total Capital
Net Income + After tax interest cost (NOPAT)
Avg. Total Capital
EBT Avg. Total Equity
Net Income Avg. Total Equity
Net Income - Pref. DividendsAvg. Common Equity
Net Income Number of Shares Outstanding
Adjusted Net Income Number of Shares Outstanding
Cash From OperationsNumber of Shares Outstanding
EBDITA Number of Shares Outstanding
Shareholders NetworthNumber of Shares Outstanding
arge or small output
the management can

d are not a reason for

the Dupont analysis
dual income model, it
e than book value if
 2015 2016 2017
Assets 44005.84 44814.31 45948.54
Current Assets 9474.06 11861.69 12588.06
Current Liabilities 21187.16 18701.74 21647.8
Inventory 5019.46 5117.92 5504.42
Cash 1066.47 427.07 188.39
Receivables 1448.39 2045.58 2128
Total Debt 12234.88 10599.96 13686.09
Total Capital 27384.24 33862.07 34495.24
EBIT 1796.74 -491.6
Equity at Market Value
Fixed Charges 17389.9 17573.25 17364.77
Capital Expenditure 3283.63 3426.99
Shareholder's Equity 15149.36 23262.11 20809.15
Cashflow from operations 2702.98 1381.47
EBT -67.1 -2420.77
Sales 48785.92 50079.25
Variable Cost
Finance Cost 1592 1590.15
Short-term Solvency or Working Capital Ratios
Current Ratio Current Assets
Quick Ratio Current Assets - Inventory
Cash Ratio Cash & Cash Equivalents
Cash flow from Operations Ratio Cash flow from Operations
Defensive Interval Cash & Cash Equivalents + Rceivables
Operating Leverage Ratio Sales - Variable Cost (Contribution)
Financial Leverage Ratio EBIT
Combined Leverage Ratio Sales - Variable Cost (Contribution)

Long-term Slvency Ratios

Debt to Total Capital Ratio Total Debt

Debt to Equity Ratio (BV basis) Total Debt
DER (MV basis) Total debt at Book Value
Times Interest Earned EBIT
Times Interest Earned (cash basis) Adjusted Cash from operations
Fixed Charge Coverage Ratio EBIT
Fixed Charge Coverage Ratio (cash basis) Adjusted Cash from operations
Capital Expenditure Ratio Cash from operations
Cash from operation to Debt Ratio Cash from operations
 Current Liabilities 0.44716045 0.634256 0.581494
Current Liabilities 0.21024998 0.360596 0.327222
Current Liabilities 0.05033568 0.022836 0.008703
Current Liabilities 0.144531 0.063816
Projected Expenditures
EBIT
EBT -26.777 0.203076
EBT

Total Capital 0.44678545 0.313033 0.396753

Total Capital
Equity at Market Value
Interest Expense 1.128606 -0.30915
Interest Expense
Fixed Charges 0.102243 -0.02831
Fixed Charges
Capital Expenditure 0.823168 0.403115
Total Debt 0.254999 0.10094