Financial Ratios
The Financial Ratios screen presents various profitability, liquidity, stability and operational ratios that the software has calculated. These ratios help analysts to evaluate the validity of the plan and to compare the projected performance to other businesses on a common base.
If you have checked the 'Show previous periods' option in the Preferences screen (General Parameters tab) and the plan includes previous years (as defined in the General Data screen) then the Financial Ratios screen will display data for previous years in columns that will appear before the first plan period.
The financial ratios and formulas are as follows:
Net Profit / Revenues (%): Net Profit / Sales * 100
Operating Profit / Revenues (%): Operating profit / Sales *100
Net Profit / Assets (%): Net Profit / Assets * 100
Operating Profit / Assets (%): Operating profit / Assets *100
Net Profit / Equity (%): Net Profit / Equity * 100
Operating Profit / Equity (%): Operating profit / Equity *100
Current Ratio (%): Current Assets / Current Liabilities * 100
Quick Ratio (%): (Current Assets - Inventory) / Current Liabilities * 100
Financial Leverage: Liabilities / Equity
Equity / Assets (%): Equity / Assets * 100
Liabilities / Assets (%): Liabilities / Assets * 100
EBIT + Interest / Interest (%): (Earning before Interest and Tax + Interest / Interest) * 100
L. T. Debt / Assets (%): Long Term Liabilities / Total Assets * 100
S.T. Liabilities / Assets (%): Short Term Liabilities / Total Assets * 100
Cash / S.T. Liabilities (%): Cash / Current Liabilities * 100
Working Capital / Revenues (%): (Current Assets - Current Liabilities) / Revenues * 100
Working Capital / Assets (%): (Current Assets - Current Liabilities) / Assets * 100
Growth Rate - Revenues (%): (This Period Revenues-Previous Period Revenues)/(Previous Period Revenues)*100
Growth Rate - Net Operating Profit (%): (This Period Op. Profit-Previous Period Op. Profit)/(Previous Period Op. Profit) * 100
Day's Sales Outstanding: (Acc. Receivable / Revenues * 360) if the period is a year; or * 30 if the period is a month or * 90 if the period is Quarter.
Days Payable: (Acc. Payable / Purchases * 360) if the period is a year; or * 30 if the period is a month or * 90 if the period is Quarter. Purchase includes all expenses and changes in inventory.
Days Inventory: (Inventory / Direct Costs * 360)
Production Employees: Production labor cost / Av. salary per employee
Other Employees: Employees entered in the Operating Expenses screens - Marketing, Development, G&A etc.
Total Employees: Production and Other Employees
Net Operating Cash Flow: The operating cash that the business creates or needs every period includes the Cash that is received from sales less the cash that is paid for expenses, salaries and investments in plant and equipment. Financial transactions such as owners investments, loan received and loan paid are not taken in account. The values in this line is used to calculate the Present Value in the next line.
P. V.: The Present Value of the Net Operating Cash Flow for each period. It is calculated by the discount rate that is entered in the General Data screen according to the usual discount method where each value for each period is divided by the discount rate factor that matches its period (e.g. the value for the third year is divided by the discount rate powered by 3 which is (1+R) ^3 ).
N. P. V. (Acc): The Accumulated Net Present Value sums the values of the above mentioned Present Value row to give the accumulated result for each period.
Note: the Present Value lines will be displayed only if the Discount Rate in the General Data screen was entered.
Toolbar Buttons
The toolbar includes the following buttons:
 OK - Close screen (and save all changes if applicable)
 Print Table - Create a report for the current table, showing it on the print preview screen
 Display Years Only - Display years only or all the periods
 Export to MS Excel file - Exports the displayed table to MS Excel
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