Midterm notes | BUS-A 100 - BASIC ACCOUNTING SKILLS, Quizzes of Financial Accounting

Ratios, equations, etc.. Class: BUS-A 100 - BASIC ACCOUNTING SKILLS; Subject: Business; University: Indiana University - Bloomington; Term: Spring 2010;

Typology: Quizzes

Pre 2010

Uploaded on 04/07/2010

atlbrown34
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TERM 1
Return on Equity Ratio
DEFINITION 1
Net income/average stock holders equity
TERM 2
Debt to Equity Ratio
DEFINITION 2
Average Total Liabilities/Average Stockholders Equity
TERM 3
Current Ratio
DEFINITION 3
current assets/current liabilities
TERM 4
Inventory Turnover Ratio
DEFINITION 4
Cost of goods sold/ average inventory
TERM 5
Earnings per share Ratio
DEFINITION 5
Net income/ Average number of shares outstanding
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Return on Equity Ratio

Net income/average stock holders equity

TERM 2

Debt to Equity Ratio

DEFINITION 2

Average Total Liabilities/Average Stockholders Equity

TERM 3

Current Ratio

DEFINITION 3

current assets/current liabilities

TERM 4

Inventory Turnover Ratio

DEFINITION 4

Cost of goods sold/ average inventory

TERM 5

Earnings per share Ratio

DEFINITION 5

Net income/ Average number of shares outstanding

Accounts Receivable (A/R)

Beginning + Sales - Cash Collected = End

TERM 7

Inventory

DEFINITION 7

Beg + Inventory Purchases - CoGS = End Inventory

TERM 8

Prepaid Amounts

DEFINITION 8

Beg + Additional payments - Expense during period = End

TERM 9

Accounts Payable (A/C)

DEFINITION 9

Beg + Inventory Purchases - Amount Paid = End

TERM 10

Notes Payable Interest Payable

DEFINITION 10

Beg + Additional funds borrowed - Payments made = End

Beg + Interest Accrued - Payments made = End