Elixir Financial Library 🏦

A financial modeling library for elixir. Contains functions that can be used as building blocks for complex financial modeling.

Hex

• Package: Link
• Hex Docs: Link

Installation

The package can be installed by adding financial to your list of dependencies in mix.exs:

def deps do
  [
    {:financials, "~> 0.1.0"}
  ]
end

Usage

Params

All arguments must be decimals with the exception of "strictly integer type" arguments such as days which may be either decimal, float or int. If you are unsure just use decimals.

Return Values

Requests return a 2-tuple with the standard :ok or :error status.

All results within :ok tuples are Decimals, and are string error-messages in :error tuples.

Ex:

# Use Decimals
total_liabilities = D.new("100500700.45")
total_equity = D.from_float(30050070.77)

# Successful response
{:ok, result} = Financials.debt_to_equity(total_liabilities, total_equity)

# Unsuccessful response due to argument type
{:error, "Arguments must be decimals"} = Financials.debt_to_equity(123.23, "23.45")

# Unsuccessful response due to argument value
{:error, "total_equity can't equal zero (Divide by zero error)"} = Financials.debt_to_equity(total_liabilities, 0)

Decimal Context

• For more info check the Decimal hex docs here.

Using the context

The context specifies the maximum precision of the result of calculations and the rounding algorithm if the result has a higher precision than the specified maximum. It also holds the list of set of trap enablers and the currently set flags.

The context is stored in the process dictionary, this means that you don't have to pass the context around explicitly and the flags will be updated automatically.

The context is accessed with Decimal.Context.get/0 and set with Decimal.Context.set/1. It can also be temporarily set with Decimal.Context.with/2.

iex> D.Context.get()
 %Decimal.Context{flags: [:rounded, :inexact], precision: 9, rounding: :half_up,
  traps: [:invalid_operation, :division_by_zero]}

iex> D.Context.set(%D.Context{D.Context.get() | traps: []})
 :ok

iex> D.Context.get()
 %Decimal.Context{flags: [:rounded, :inexact], precision: 9, rounding: :half_up,
  traps: []}

Precision and rounding

The precision is used to limit the amount of decimal digits in the coefficient:

iex> D.Context.set(%D.Context{D.Context.get() | precision: 9})
 :ok

iex> D.div(100, 3)
 #Decimal<33.3333333>

iex> D.Context.set(%D.Context{D.Context.get() | precision: 2})
 :ok

iex> D.div(100, 3)
 #Decimal<33>

The rounding algorithm specifies how the result of an operation shall be rounded when it get be represented with the current precision:

iex> D.Context.set(%D.Context{D.Context.get() | rounding: :half_up})
 :ok

iex> D.div(31, 2)
 #Decimal<16>

iex> D.Context.set(%D.Context{D.Context.get() | rounding: :floor})
 :ok

iex> D.div(31, 2)
 #Decimal<15>

Functions

Net Income

net_income(total_revenues, total_expenses)

Earnings

earnings(net_income, preferred_dividends)

Retained Earnings

retained_earnings(beginning_period_retained_earnings, net_income, cash_dividends, stock_dividends)

Operating Cash Flow

ocf(operating_income, depreciation, taxes, change_in_working_capital)

Return on Revenue

ror(net_income, sales_revenue)

Return on Sales

ros(operating_profit, net_sales)

COGS -- Cost of Goods Sold

cogs(beginning_inventory, purchases, ending_inventory)

EBIT -- Earnings Before Interest and Taxes

ebit(revenue, cogs, operating_expenses)

EBITA -- Earnings Before Interest, Taxes, and Amortization

ebita(revenue, cogs, operating_expenses, amortization)

EBITDA -- Earnings Before Interest, Taxes, Depreciation, and Amortization

ebitda(net_income, interest_expense, taxes, depreciation, amortization)

Receivable Turnover Ratio

receivable_turnover_ratio(net_credit_sales, average_accounts_receivable)

Accumulated Depreciation to Fixed Assets

accumulated_depreciation_to_fixed_assets(accumulated_depreciation, total_fixed_assets)

Asset Coverage

asset_coverage(total_assets, intangible_assets, current_liabilities, short_term_debt, total_debt)

Asset Turnover

asset_turnover(net_sales, average_total_sales)

Average Inventory Period

average_inventory_period(days, inventory_turnover)

Average Payment Period

average_payment_period(average_accounts_payable, total_credit_purchases, days)

Break Even Analysis

break_even_analysis(fixed_costs, sales_price_per_unit, variable_cost_per_unit)

Capitalization Ratio

capitalization_ratio(total_debt, shareholders_equity)

Cash Conversion Cycle

cash_conversion_cycle(days_inventory_outstanding, days_sales_outstanding, days_payables_outstanding)

Cash Flow Coverage

cash_flow_coverage(operating_cash_flows, total_debt)

Cash Ratio

cash_ratio(cash, cash_equivalents, total_current_liabilities)

CAGR -- Compounded Annual Growth Rate

cagr(beginning_investment_value, ending_investment_value, years)

Contribution Margin

contribution_margin(net_sales, variable_costs)

Current Ratio

current_ratio(current_assets, current_liabilities)

DPO -- Days Payable Outstanding

dpo(accounts_payable, cost_of_sales, days)

Days Sales in Inventory

days_sales_in_inventory(ending_inventory, cogs)

Days Sales Outstanding

days_sales_outstanding(accounts_receivable, net_credit_sales)

Debt Ratio

debt_ratio(total_liabilities, total_assets)

Debt Service Coverage Ratio

dscr(operating_income, total_debt_service_costs)

Debt to Asset Ratio

debt_to_asset(total_debt, total_assets)

Debt to Capital Ratio

debt_to_capital(total_debt, shareholders_equity)

Debt to Equity Ratio

debt_to_equity(total_liabilities, total_equity)

Debt to Income Ratio

dti(total_monthly_debt_payments, gross_monthly_income)

Defensive Interval Ratio

dir(defensive_assets, daily_operational_expenses)

EPS -- Earnings Per Share - Basic

eps_basic(earnings, shares_outstanding)

Diluted Earnings Per Share

eps_diluted(earnings, shares_outstanding, diluted_shares)

Pro-Forma Earnings Per Share

eps_pro_forma(acquirers_net_income, targets_net_income, incremental_adjustments, shares_outstanding, diluted_shares)

Book Value Earning Per Share

eps_book_value(total_equity, preferred_equity, shares_outstanding)

Retained Earnings Per Share

eps_retained(retained_earnings, shares_outstanding)

Cash Earnings Per Share

eps_cash(operating_cash_flow, shares_outstanding)

PE -- Price to Earnings Ratio

pe_ratio(price, earnings_per_share)

Price to Earnings to Growth Ratio

peg_ratio(price_to_earnings, earnings_growth)

Dividend Payout Ratio

dividend_payout(net_dividends, net_income)

Dividend Yield

dividend_yield(cash_dividends_per_share, market_value_per_share)

DuPont Analysis

du_pont_analysis(profit_margin, total_asset_turnover, financial_leverage)

Enterprise Value

ev(market_capitalization, debt, current_cash)

Equity Multiplier

equity_multiplier(total_assets, total_stockholders_equity)

Equity Ratio

equity_ratio(total_equity, total_assets)

Expense Ratio

expense_ratio(operating_expenses, average_value_of_fund_assets)

Fixed Asset Turnover Ratio

fixed_asset_turnover_ratio(net_sales, fixed_assets, accumulated_depreciation)

Fixed Charge Coverage Ratio

fixed_charge_coverage_ratio(ebit, fixed_charges_before_taxes, interest)

Free Cash Flow

fcf(operating_cash_flow, capital_expenditures)

Goodwill to Assets

goodwill_to_assets(goodwill, assets)

Gross Margin Ratio

gross_margin_ratio(gross_margin, net_sales)

Gross Profit

gross_profit(total_sales, cogs)

Interest Coverage Ratio

interest_coverage_ratio(ebit, interest_expense)

Inventory Turnover Ratio

inventory_turnover_ratio(cogs, average_inventory)

Loan to Value Ratio

ltv(mortgage_amount, appraised_value_of_property)

Long Term Debt to Total Asset Ratio

long_term_debt_to_total_asset_ratio(long_term_debt, total_assets)

Margin of Safety

margin_of_safety(actual_sales, break_even_point)

Margin of Safety Ratio

margin_of_safety_ratio(actual_sales, break_even_point)

Margin of Revenue

margin_of_revenue(change_in_total_revenues, change_in_quantity_sold)

Contributing

Open an issue or create a fork and submit a pull request.