Acer 2006 Annual Report Download - page 40

Download and view the complete annual report

Please find page 40 of the 2006 Acer annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 49

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49

-36-
1. Financial Ratio
(1) Total liabilities to Total assetsTotal liabilities Total assets
(2) Long-term funds to fixed assetsNet equityLong term debtsNet fixed assets
2. Ability to Pay off Debt
(1) Current ratioCurrent AssetsCurrent liability
(2) Quick ratio=Current assetsInventoryPrepaid expenses/Current liability
(3) Interest protectionNet income before income tax and interest expenseInterest
expense
3. Ability to Operate
(1) Account receivable (including account receivable and notes receivable from
operation) turnoverNet salesthe Average of account receivable (including
account receivable and notes receivable from operation) balance
(2) A/R turnover day365account receivable turnover
(3) Inventory turnoverCost of goods soldthe average of inventory
(4) Account payable (including account payable and notes payable from
operation)turnoverCost of goods soldthe average of account payable
including account payable and notes payable from operationbalance
(5) Inventory turnover day365Inventory turnover
(6) Fixed assets turnoverNet salesNet Fixed Assets
(7) Total assets turnoverNet salesTotal assets
4. Earning Ability
(1) Return on assets=PATInterest expense×(1-tax rate)/the average of total
assets
(2) Return on equityPATthe average of net equity
(3) Net income ratioPATNet sales
(4) EPS =PAT Dividend from prefer stock/weighted average outstanding
shares
5. Cash Flow
(1) Cash flow ratioCash flow from operating activitiesCurrent liability
(2) Cash flow adequacy ratioMost recent 5-year Cash flow from operating activities
Most recent 5-year (Capital expenditurethe increase of inventorycash
dividend)
(3) Cash reinvestment ratio=Cash flow from operating activitiescash dividend
(Gross fixed assetslong-term investmentother assetsworking capital)
6. Leverage
(1) Operating leverage(Nest revenuevariable cost of goods sold and operating
expense)operating income
(2) Financial leverageOperating income(Operating incomeinterest expenses)