Debt Ratio

The debt ratio indicates how much of a company’s assets are provided through debt. This is the proportion of funding that is provided by creditors. This interactive tutorial walks you through the calculations, including where Total Assets and Total Liabilities are on the Balance Sheet.

Get More Help!

Click one of these links to get more help from another Cramlet in this same chapter:

• Study Sheet of Debt Management Ratios
• TIE Ratio
• Equity Multiplier
• EBITDA Coverage
• Debt to Equity Ratio
• Debt Ratio