3 Cs – company customer, competition
3Ps – price, product, promotion, place (distribution)
Bull market – upward market in which +20% or more in 2 months or longer.
Rally – small moves upward in a shorter period of time
Bear market – downward market in which -20% or more in 2 months or longer
Correction – small moves downward in a shorter period of time
Secular – macro/long term trend
Primary – medium/short term trend
Net working capital = current assets – current liabilities
Marginal tax – the percentage paid on the next dollar earned
Average tax = the tax bill / taxable income
Current Ratio = CA / CL
Quick Ratio = (CA – Inventory) / CL
Cash Ratio = Cash / CL
Total Debt Ratio = TD / TA
Debt / Equity = TD / TE
Equity Multiplier = TA/TE = 1+ D/E
Times Interest Earned = EBIT / Interest
Cash Coverage = (EBIT + Depreciation) / Interest
Inventory Turnover = Cost of goods sold / Inventory
Days Sales in Inventory = 365/Inventory turnover
Receivables Turnover = Sales / Accounts Receivale
Days Sales in Receivables = 365/ Receivables Turnover
Total Asset Turnover = Sales / Total Assets