# Knowingpains Financial FormulasKnowingpains Financial Formulas

Finance Formulas / June 13, 2018 / Iliana Williamson

## Degree Of Financial Leverage FormulaDegree Of Financial Leverage Formula

Return on equity (ROE) measures the rate of return on the ownership interest or shareholdersâ€™ equity of the common stock owners. It is a measure...

Finance Formulas / June 12, 2018 / Luz Tyson

## Ebitda Margin FormulaEbitda Margin Formula

Companies fund their capital purchases with equity and borrowed capital. The equity capitalstockholders' equity can also be viewed as a company's net assets (total assets...

Finance Formulas / June 11, 2018 / Iliana Williamson

### Coupon Bond FormulaCoupon Bond Formula

Because of the cost principle (and other accounting principles), assets are generally reported on the balance sheet at cost (or lower) amounts. As a result,...

Finance Formulas / June 7, 2018 / Chanel Cleveland

#### Debt To Equity Ratio FormulaDebt To Equity Ratio Formula

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...

Finance Formulas / June 4, 2018 / Iliana Williamson

##### Debt Coverage Ratio FormulaDebt Coverage Ratio Formula

It is important to keep the rate per period and number of periods consistent with one another in the formula. If the loan payments are...

Finance Formulas / June 2, 2018 / Alyvia French

###### Dupont Analysis FormulaDupont Analysis Formula

For example, an investor starts her own business with \$100,000 and earns \$120,000 in profits during the first year. Her accounting profit is \$20,000. But...

Finance Formulas / May 26, 2018 / Chanel Cleveland

## Continuous Compound Interest FormulaContinuous Compound Interest Formula

The current ratio is mainly used to give an idea of a company's ability to pay back its liabilities (debt and accounts payable) with its...

Finance Formulas / May 26, 2018 / Avalynn Orr

## Cost Of Capital FormulaCost Of Capital Formula

To force banks to increase capital buffers, and ensure they can withstand financial distress before they become insolvent, Basel III rules would tighten both tier-1...

Finance Formulas / May 20, 2018 / Chanel Cleveland

## Compound Interest FormulaCompound Interest Formula

Otherwise, an annuity that changes the payment andor rate would need to be adjusted for each change. An annuity that has its first payment due...

Finance Formulas / May 19, 2018 / Natalia Atkins

## Common Stockholders Equity FormulaCommon Stockholders Equity Formula

Companies fund their capital purchases with equity and borrowed capital. The equity capitalstockholders' equity can also be viewed as a company's net assets (total assets...