Corporate Finance Flashcards
(36 cards)
1
Q
Average Accounting Rate of Return (AAR)
A
2
Q
Profitability Index (PI)
A
3
Q
Weighted Average Cost
of Capital (WACC)
A
4
Q
Tax shield
A
5
Q
Cost of Preferred
Stock
A
6
Q
Cost of Equity
(Dividend discount model
approach)
A
7
Q
Growth Rate
A
8
Q
Cost of Equity
(Bond yield plus risk premium)
A
9
Q
Capital Asset Pricing
Model (CAPM)
A
10
Q
Beta of a Stock
A
11
Q
Pure-play Method Project
Beta (De-lever)
A
12
Q
Pure-play Method for
Subject Firm (Re-lever)
A
13
Q
Adjusted CAPM (for country risk premium)
A
14
Q
Country Risk Premium
A
15
Q
Break Point
A
16
Q
Degree of Operating Leverage
A
17
Q
Degree of Financial Leverage
A
18
Q
Degree of Total Leverage
A
19
Q
Return on Equity (ROE)
A
20
Q
The Breakeven Quantity of Sales
A
21
Q
Operating Breakeven Quantity of Sales
A
22
Q
Current Ratio
A
23
Q
Quick Ratio
A
24
Q
Accounts Receivable Turnover
A
25
Number of Days of Receivables
26
Inventory Turnover
27
Number of Days of Inventory
28
Payables Turnover
29
Number of Days of Payables
30
Net Operating Cycle
31
Yield on a Bank Discount Basis (BDY)
32
Effective Annual Yield (EAY)
33
Holding Period Return
34
Cost of Trade Credit
35
Cost of Borrowing
36
