answersLogoWhite

0

How do you calculate cash flow ratio?

Updated: 8/16/2019
User Avatar

Wiki User

13y ago

Best Answer

The Cash Flow Ratio is used to compare a company's market value to its cash flow.

Formula:

CFR = Market Price per Share / Present Value of Cash Flow per Share

Cash Flow per Share = Total Cash Flow / Total No. of outstanding Shares

User Avatar

Wiki User

13y ago
This answer is:
User Avatar

Add your answer:

Earn +20 pts
Q: How do you calculate cash flow ratio?
Write your answer...
Submit
Still have questions?
magnify glass
imp
Related questions

Operating Cash Flow to Current Liabilities Ratio?

operating cash flow to current liabilities ratio = cash flow from operations / avg. total liabilities


What is cash flow adequacy ratio?

Cash Flow Adequacy Ratio is the performance measure of cash sufficiency. It shows whether the company has enough cash to meet its expenses. A ratio of less than one means they don't have enough cash, and above one means their cash flow is sufficient.


What is Operation Cash Flow Ratio?

The Operation Cash Flow Ratio is a financial metric that measures a company's ability to generate cash flow from its core operating activities. It is calculated by dividing the company's operating cash flow by its current liabilities. A higher ratio indicates that the company has sufficient cash flow to cover its short-term liabilities.


What is cash adequacy ratio?

Cash Flow Adequacy Ratio is the performance measure of cash sufficiency. It shows whether the company has enough cash to meet its expenses. A ratio of less than one means they don't have enough cash, and above one means their cash flow is sufficient.


Calculate free cash flow?

=== ===


What is operation cash flow?

Operation Cash Flow Ratio is a financial ratio that is used to identify the percentage of money raised by the company as part of the operation cash flow to the total debt the company owes. Operating cash flow is the cash generated from the operations of the organization after excluding taxes, interest paid, investment income etc.FormulaOCFR = Operation Cash Flow / Total Debts


Depreciation affect cash flow?

There is no affect of depreciation on cash flow that's why in indirect method of cash flow net income is adjusted for depreciation to calculate cash flow from operating activities.


What is a cash flow leverage ratio?

Senior Debt / EBITDA


What is the Price and Earnings ratio when a company has an Earnings Per Share of 2.00 and a cash flow per share of 3.00 and a price and cash flow ratio of 8.0?

A company has an EPS of $2.00 Cash flow per share of $3.00 Price/cash flow ratio of 8.0x What is its P/E ratio? Price Per Earnings Ratio = Market Value Per Share / Earnings Per Share (EPS) 8.0 x 3.00 = 24 24/2 P/E = 12X


Does financial accounting course help you know how to calculate cash flow 101?

Yes, a financial accounting course will help you know how to calculate cash flow and many other financial endeavors. I am not sure cash flow 101 is a 'true' term.


What is the bench mark rate of Operating Cash Flow Ratio?

wewewew


Calculate volume flow rate?

This is the ratio volume/time.