⑴Operating cash flow(经营性现金流量): generated by business activities, including sales of goods and services, not including financing , capital spending, or changes in Net working capital. Equation: operating cash flow=earnings before interest and taxes (EBIT)+Depreciation-taxes息税前利润 + 折旧 ...
Net working capital represents that funds an entity has to cover short-term obligations, such as payroll, rent, and utility bills. Learn how to calculate it.
Here, we can gather all of the information we need to plug into the net profit margin equation. We take the total revenue of $6,400 and deductvariable costsof $1,700 as well asfixed costsof $350 to arrive at a net income of $4,350 for the period. If Jazz Music Shop also had ...
Explain the balance of payments equation: (Exports-Imports)+(Capital inflows-outflows)-change in reserves=0 Explain the meaning of net asset value (NAV) per share for mutual funds. Define exporting. Explain your answer. Explain the importance of net products in the history of econ...
On its own, gross working capital is not useful, as it does not give a full picture of a company's liquidity. Including current liabilities into the equation results in calculating working capital, which is a true picture of a company's liquidity and its ability to meet its short-term obl...
What is the basic quantity equation of money? What is the difference between gross profit and income from operations? What is aggregate output? What is an aggregate income? Anna's net income is $40,000 per year. What is the most she should spend towards housing each year?
Again, the surest way to understand the formula behind NPV is to start with the present value equation: PV=cash flow(1+r)nPV=(1+r)ncash flow where: PVPV –Present value of money; cash flowcash flow –Amount of money you will get in the future; rr –Discount rate (interest rate use...
Which of the following is the correct accounting equation? A. Assets + liabilities = opening capital - drawings + profit B. Assets + liabilities = opening capital +profit - drawings C. Assets - liabilities = opening capital - drawings + profit D. Net assets + liabilities = closing cap...
The simplified method to design the underground closed-loop uses a simple steady-state heat transfer equation: Q = L (tg − tw)/R where Q (the rate of heat transfer for the heat exchanger length in W (Watt)), L (the length of the heat exchanger (bore length) in M (meter)), ...
Year 1 = -$50,000 (initial capital outlay) Year 2 = $115,000 return Year 3 = -$66,000 in new marketing costs to revise the look of the project. A single IRR can't be used in this case. Recall that IRR is the discount rate or the interest needed for the project to break even...