DuPont
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Exam 2 Ratios
Other Industries
100

Profit Margin

Net Income / Net Sales

100

Current Ratio

Current Assets / Current Liabilities

100

Return on Equity (Long Version)

Profit Margin x Asset Turnover x Equity Multiplier

100

Receivables Turnover Ratio

Net Credit Sales / Avg Net Accts Rec

100

Net Interest Margin

(Interest Income - Interest Expense) / Total Assets

200

Asset Turnover

Net Sales / Average Total Assets

200

Gross Profit Ratio

Gross Profit / Net Sales

200

Times Interest Earned Ratio

(Net Income + Interest Exp + Tax Exp) / Interest Exp

200

Inventory Turnover Ratio

Cost of Goods Sold / Avg Inventory

200

Expense Ratio

Total Underwriting Expense / Total Premiums Earned

300

Return on Assets

Net Income / Average Total Assets

300

Debt to Assets

Total Liabilities / Total Assets

300

Dividend Yield

Dividends Per Share / Stock Price

300
Cash Holdings Ratio

(Cash + Cash Equivalents) / Total Assets

300

Provision for Credit Losses

Provision for Credit Losses / Net Loans and Acceptances

400

Equity Multiplier

Average Total Assets / Average Total Equity

400

Price Earnings Ratio

Stock Price / Earnings Per Share

400

Acid Test Ratio

(Cash + Current Investments + Accounts Receivable) / Current Liabilities

400

Investments to Assets Ratio

(Short Term Investments + Long Term Investments) / Total Assets

400

Efficiency Ratio

Non Interest Expense / Revenue

500

Return on Equity (Short Version)

Net Income / Average Total Equity

500

Earnings Per Share

(Net Income - Preferred Share Dividends) / Weighted Average Common Stock Outstanding

500

Debt to Equity

Total Interest Bearing Debt / Stockholders Equity

500

Return on Investments

Investment Related Income / (Avg Short Term Inv + Avg Long Term Inv)

500

Loss Ratio

(Insurance Claims Paid + Loss Adjustment Expense) / Total Premiums Earned
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