Debt to equity ratio: Difference between revisions
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== See also == | == See also == | ||
* [[Cost of financial distress]] | * [[Cost of financial distress]] | ||
* [[Credit rating]] | |||
* [[Debt ratio]] | * [[Debt ratio]] | ||
* [[Equity]] | * [[Equity]] | ||
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.
