Debt to equity ratio: Difference between revisions

From ACT Wiki
Jump to navigationJump to search
imported>Doug Williamson
(Layout.)
(Add link.)
 
(3 intermediate revisions by one other user not shown)
Line 1: Line 1:
Near enough the same as the Debt equity ratio.
''Financial ratio analysis.''
 
The debt equity ratio measures the relative level of debt in a company's capital structure.
 
It is calculated as:
 
''Debt '''÷''' equity''
 
 
Higher ratios indicate a relatively higher level of financial risk for the company.




== See also ==
== See also ==
* [[Debt equity ratio]]
* [[Cost of financial distress]]
* [[Credit rating]]
* [[Debt ratio]]
* [[Equity]]
* [[Gearing]]
* [[Gearing]]
[[Category:Accounting,_tax_and_regulation]]
[[Category:The_business_context]]

Latest revision as of 16:26, 23 June 2024

Financial ratio analysis.

The debt equity ratio measures the relative level of debt in a company's capital structure.

It is calculated as:

Debt ÷ equity


Higher ratios indicate a relatively higher level of financial risk for the company.


See also