# Knowingpains Financial FormulasKnowingpains Financial Formulas

Finance Formulas / July 30, 2018 / Alyvia French

## Salvage Value FormulaSalvage Value Formula

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

Finance Formulas / July 30, 2018 / Natalia Atkins

## Declining Balance Depreciation FormulaDeclining Balance Depreciation Formula

Companies record accounts receivable as assets on their balance sheets since there is a legal obligation for the customer to pay the debt. Furthermore, accounts...

Finance Formulas / July 30, 2018 / Heaven Estes

### Current Yield FormulaCurrent Yield Formula

There are many variations when it comes to what you can use for your cash flows and discount rate in a DCF analysis. For example,...

Finance Formulas / July 29, 2018 / Cecelia Weiss

#### Future Value FormulaFuture Value Formula

The debt to total assets ratio is calculated by dividing a corporation's total liabilities by its total assets. Let's assume that a corporation has \$100...

Finance Formulas / July 29, 2018 / Iliana Williamson

##### Flotation Cost FormulaFlotation Cost Formula

Economic profit is the profitability measurement that calculates the amount that revenues received from selling a product exceeds opportunity costs incurred from using resources to...

Finance Formulas / July 29, 2018 / Alia Marquez

###### Growth Rate FormulaGrowth Rate Formula

An individual starts a business and incurs startup costs of \$50,000. During the first year of operation, the business earns a profit of \$75,000. If...

Finance Formulas / July 29, 2018 / Briana Leonard

## Residual Income FormulaResidual Income Formula

Bond yield is the amount of return an investor realizes on a bond. Several types of bond yields exist, including nominal yield which is the...

Finance Formulas / July 29, 2018 / Rory Wise

## Percent Reduction FormulaPercent Reduction Formula

If a corporation has issued only one type, or class, of stock it will be common stock. ("Preferred stock" is discussed later.) While "common" sounds...

Finance Formulas / July 29, 2018 / Iliana Williamson

## Capital Asset Pricing Model FormulaCapital Asset Pricing Model Formula

Bonds form a significant portion of the financial market and are a key source of capital for the corporate world. Therefore every corporate finance course...

Finance Formulas / July 29, 2018 / Heaven Estes

## Net Domestic Product FormulaNet Domestic Product Formula

The break-even point (BEP) in economics, business—and specifically cost accounting—is the point at which total cost and total revenue are equal. There is no net...