Economics

11 Minutes

Accounting

Free Cash Flow (FCF) | Explanation, Method of Analysis, Examples, Questions, Answers

cleverlysmart.com April 7, 2022 0 Comment

Free Cash Flow is the ability of a company to generate additional resources. It corresponds to the cash portion of the self-financing capacity obtained during the year and which is not allocated to the...

8 Minutes

Accounting Business and Marketing

Leasing | Types, Explanations and Examples

cleverlysmart.com February 14, 2022 0 Comment

Leasing is a financing contract for acquiring or using movable property (property that can be moved from one place to another: car, professional equipment, watches, jewellery) or immovable property (land, real estate, warehouse, manufacturing...

3 Minutes

Accounting

Owner Withdrawals (Drawing Account) Accounting

cleverlysmart.com February 8, 2022 0 Comment

Owner Withdrawals: Understanding Drawing Accounts in Business 🔍 What Are Owner Withdrawals? Owner withdrawals, also known as drawings or distributions, refer to cash or other assets taken out of a business by the owner...

8 Minutes

Accounting Business and Marketing

Return On Investment (ROI) | Formula, Q and A

cleverlysmart.com January 2, 2022 0 Comment

Return On Investment (ROI) Return on investment often appearing under its acronym R.O.I. and which can translate into return on investment, rate of profit or rate of return. Definition It is a financial indicator...

3 Minutes

Accounting

TBILLPRICE Price Treasury Bill | Formula, Example, Questions and Answers

cleverlysmart.com December 22, 2021 0 Comment

TBILLPRICE The TBILLPRICE function is classified under Excel Financial Functions. Functions List of the most important Excel functions for financial analysts. This cheat sheet covers hundreds of functions that are essential to know as...

13 Minutes

Accounting Business and Marketing

Cash Flow Management in Business: How to do it

cleverlysmart.com December 21, 2021 0 Comment

Cash Flow Management Cash flow management is a must for all businesses. Managing your cash flow well means monitoring the inflows and outflows of money, but also monitoring many indicators to know which strategy...

Accounting -31 Minutes

Leveraged Buyout (LBO) detail: definition and acquisition methods

cleverlysmart.com December 21, 2021 0 Comment

Leveraged Buyout (LBO) A particularly popular mechanism for investment funds, Leverage Buyout (LBO) is the preferred financial package during a business buyout. This leveraged buyout method must be properly prepared to avoid any unpleasant...

4 Minutes

Accounting

ROA (Return on Asset) | Formula, Questions and Answers

cleverlysmart.com December 17, 2021 0 Comment

ROA (Return on Asset) ROA (Return on assets) refers to an economic concept used by economists and business leaders. It measures the ratio of a company’s bottom line to total assets. Thanks to the...

10 Minutes

Accounting Business and Marketing

Payback Period | How do you calculate the payback time on your investment?

cleverlysmart.com December 6, 2021 0 Comment

Payback Period Payback period is the length of time an investment reaches a breakeven point. An investor will ask himself the question of what are the investments that will allow him to recover his...

6 Minutes

Accounting

Financial Ratios are like performance scorecards for businesses | Accounting – Formulas, Examples, Questions, Answers

cleverlysmart.com April 5, 2021 0 Comment

In short, financial ratios are like financial checkups for businesses. They help companies stay on track, make informed decisions, and achieve their long-term financial goals....

3 Minutes

Accounting

Valuation Ratio and Growth Ratios | Accounting – Formulas, Examples, Questions, Answers

cleverlysmart.com April 5, 2021 0 Comment

Valuation Ratio and Growth Ratios A valuation ratio shows the relationship between the market value of a company or its equity and some fundamental financial metric (e.g., earnings). The point of a valuation ratio...

Accounting -1 Minute

Profitability Ratio | Accounting – Formulas, Examples, Questions, Answers

cleverlysmart.com April 5, 2021 0 Comment

Profitability ratios measure a company’s ability to generate income relative to revenue, balance sheet assets, operating costs, and equity. Gross Profit Rate = Gross Profit ÷ Net Sales...

Accounting -5 Minutes

Liquidity Ratio | Accounting – Formulas, Examples, Questions, Answers

cleverlysmart.com April 5, 2021 0 Comment

Liquidity Ratio Liquidity ratio is a financial ratio that measure a company’s ability to repay both short and long-term obligations. Current Ratio = Current Assets ÷ Current Liabilities It evaluates the ability of a...

Accounting -6 Minutes

Solvency Ratio | Accounting – Formulas, Examples, Questions, Answers

cleverlysmart.com April 5, 2021 0 Comment

Solvency Ratio A solvency ratio is a performance metric that helps us examine a company’s financial health. In particular, it enables us to determine whether the company can meet its financial obligations in the...

8 Minutes

Accounting

Market Value Ratio | Accounting – Formulas, Examples, Questions, Answers

cleverlysmart.com April 5, 2021 0 Comment

Market Value Ratio Market value ratios are used to evaluate the share price of a company’s stock. It compares the company’s stock price to its earnings or assets. Market ratios show how investors feel...

Accounting -3 Minutes

Efficiency Ratio (Activity Ratio) | Accounting – Formulas, Examples, Questions, Answers

cleverlysmart.com April 5, 2021 0 Comment

Efficiency Ratio (Activity Ratio) Efficiency ratio, also known as activity financial ratios, are used to measure how well a company is utilizing its assets and resources. Efficiency Ratio Formulas Receivable Turnover = Net Credit...

Accounting -7 Minutes

Leverage Ratio (Debt Ratio) | Accounting – Formulas, Examples, Questions, Answers

cleverlysmart.com April 5, 2021 0 Comment

Leverage Ratio (Debt Ratio) Leverage ratio in finance is a general term for any technique intended to multiply profits and losses. Common leverage techniques are debt, the purchase of long-term assets and derivatives (such...

10 Minutes

Accounting

Profitability Ratio Analysis and Fundamental Analysis Criterion | Formulas and Examples

cleverlysmart.com April 4, 2021 0 Comment

Profitability Ratio Analysis You think only by the evolution of turnover and bottom line to know if you are dealing with a good value. The truth is, they don’t give a meaningful indication of...