# Knowingpains Financial FormulasKnowingpains Financial Formulas

## Accounting Ratios FormulasAccounting Ratios Formulas

Finance Formulas / February 9, 2018 / Kenzie Kennedy

Bond valuation is a technique for determining the theoretical fair value of a particular bond. Bond valuation includes calculating the present value of the bond's future interest payments, also known...

## Accounts Receivable Turnover FormulaAccounts Receivable Turnover Formula

Finance Formulas / February 13, 2018 / Alyvia French

In contrast, implicit costs are the opportunity costs of factors of production that a producer already owns. The implicit cost is what the firm must give up in order to...

## Accounts Receivable FormulaAccounts Receivable Formula

Finance Formulas / February 28, 2018 / Cecelia Weiss

Economic profit is the difference between the revenue a firm earns from sales and the firm’s total opportunity costs. It’s important to distinguish between accounting profit and economic profit. Accounting...

## Annual Growth Rate FormulaAnnual Growth Rate Formula

Finance Formulas / August 5, 2018 / Alia Marquez

Inventory is included as current assets, but this item should be taken with a grain of salt. Different accounting methods can be used to inflate inventory, and in any case...

## Inventory Cost FormulaInventory Cost Formula

Finance Formulas / August 5, 2018 / Alia Marquez

EBITDA margin is an assessment of a firm's operating profitability as a percentage of its total revenue. It is equal to earnings before interest, tax, depreciation and amortization (EBITDA) divided...

## Amortization Payment FormulaAmortization Payment Formula

Finance Formulas / August 5, 2018 / Kenley Hopper

The DebtEquity (DE) ratio can be applied to personal financial statements as well, in which case it is also known as the Personal DebtEquity Ratio. Here, "equity" refers not to...

### Retail Markup FormulaRetail Markup Formula

Finance Formulas / August 5, 2018 / Aniyah Booth

The asset turnover ratio is an efficiency ratio that measures a company’s ability to generate sales from its assets by comparing net sales with average total assets. In other words,...

#### Break Even Point FormulaBreak Even Point Formula

Finance Formulas / August 5, 2018 / Avalynn Orr

Asset turnover ratio is typically calculated over an annual basis using either the fiscal or calendar year. The total assets number used in the denominator can be calculated by taking...

##### Book Value FormulaBook Value Formula

Finance Formulas / August 5, 2018 / Briana Leonard

Discounted cash flow models are powerful, but they do have shortcomings. DCF is merely a mechanical valuation tool, which makes it subject to the axiom "garbage in, garbage out." Small...

###### Income Approach FormulaIncome Approach Formula

Finance Formulas / August 5, 2018 / Kenley Hopper

EBITDA is a non-GAAP financial figure that measures a company's profitability before deductions that are considered somewhat superfluous to the business decision-making process. These deductions are interest, taxes, depreciation and...