Capital Budgeting Flashcards
(37 cards)
1
Q
After-Tax Annual Cash Flows =
A
2
Q
Free Cash Flow =
A
3
Q
Accounting Rate of Return =
A
4
Q
Compound Interest & Present Value/Future Value =
A
5
Q
An ordinary annuity is …..
A
6
Q
An annuity due is …..
A
7
Q
Net Present Value (NPV) =
A
8
Q
Depreciation Tax Shield =
A
9
Q
Operating lease relevant cash flows =
A
10
Q
Finance lease and purchase of the asset by borrowing =
A
11
Q
Payback Period =
A
12
Q
Profitability Index =
A
13
Q
Capital Budgeting Assessment Tools
A
14
Q
Degree of Operating Leverage (DOL) =
A
15
Q
Degree of Financial Leverage (DFL) =
A
16
Q
Earning per share (EPS) =
A
17
Q
Degree of Total Leverage (DTL) =
A
18
Q
Common Stock Valuation =
A
19
Q
Dividend Growth Model =
A
20
Q
Required Rate of Return =
A
21
Q
Dividend Discount Growth Model =
A
22
Q
Preferred Stock Valuation =
A
23
Q
Preferred Stock Price =
A
24
Q
Dividend Payout Ratio =
A
25
Dividend Yield =
26
Shareholder Return =
27
Times-interest-earned ratio =
28
Total debt ratio =
29
Total-debt-to-total-capital ratio =
30
Debt-to-equity ratio =
31
Long-term-debt-to-total-equity ratio =
32
Cost of long term debt =
33
Cost of preferred stock (old) =
34
Cost of preferred stock (new) =
35
Cost of common equity (basic) =
36
Cost of common equity (advanced) =
37
Weighted-Average Cost of Capital (WACC) =