**Finance Formulas** / July 27, 2018 / Natalia Atkins

read moreAverage total assets is defined as the average amount of assets recorded on a company's balance sheet at the end of the current year and preceding year. This figure is...

**Finance Formulas** / July 26, 2018 / Cecelia Weiss

read moreThe cash ratio is most commonly used as a measure of company's liquidity. The metric calculates a company's ability to pay current liabilities using only cash and cash equivalents on...

**Finance Formulas** / July 16, 2018 / Heaven Estes

read moreFor 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 that same year, she could...

**Finance Formulas** / August 4, 2018 / Alia Marquez

read moreCross Price Elasticity of Demand (XED) is the responsiveness of demand for one good to the change in the price of another good. It is the ratio of the percentage...

**Finance Formulas** / August 5, 2018 / Kenley Hopper

read moreIn return for your lump sum, the insurance company promises to make regular payments to you (or to a payee you specify) for the chosen length of time most commonly...

**Finance Formulas** / August 5, 2018 / Alia Marquez

read moreDebtEquity (DE) Ratio, calculated by dividing a company’s total liabilities by its stockholders' equity, is a debt ratio used to measure a company's financial leverage. The DE ratio indicates how...

*Finance Formulas* / August 5, 2018 / Avalynn Orr

read moreThe 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...

__Finance Formulas__ / August 5, 2018 / Aniyah Booth

read moreCurrent assets are generally listed first on a company's balance sheet and will be presented in the order of liquidity. That means they will appear in the following order: cash...

*Finance Formulas* / August 5, 2018 / Alia Marquez

read moreIn 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...

__Finance Formulas__ / August 5, 2018 / Briana Leonard

read moreWhen the cross elasticity of demand for product A relative to the change in the price of product B is negative, it means that the quantity demanded of A has...

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