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debt ratio

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Debt Ratio
A ratio that indicates what proportion of debt a company has relative to its assets. It is calculated by dividing total debts by total assets.

Notes:
A debt ratio greater than 1 indicates that a company has more debt than assets, and a debt ratio less than 1 indicates a company has more assets than debt. Used in conjunction with other measures of financial health, the debt ratio can help investors determine a company's level of risk.

Debt ratio
Total debt divided by total assets.
debt ratio
The proportion of a firm's total assets that are being financed with borrowed funds. The debt ratio is calculated by dividing total long-term and short-term liabilities by total assets. Assets and liabilities are found on a company's balance sheet. For example, a firm with assets of $1,000,000 and $150,000 in short-term debts and $300,000 in long-term debts has a debt ratio of $450,000/$1,000,000 or 45%. A low debt ratio indicates conservative financing with an opportunity to borrow in the future at no significant risk. Compare bond ratio.
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If one factors recession and disinflation into a budgetary equation that already has a probable 6 percent deficit and a debt ratio above 100 percent among its terms, then one needs neither a spreadsheet nor even the back of an envelope to calculate that Italy's debt ratio is going to explode upwards.
Europe's Italy problem: and, as a result, are monetary union and the ... by Connolly, Bernard / The International Economy
To determine the economic value of a project, the WACC and Arditti-Levy methods need to be adjusted if the firm allocated to this project a loan representing proportionally more (or less) than the fraction corresponding to the target debt ratio defined by the firm for the projects, in the same class or risk.
Build-operate-transfer of airport in fuzzy cost of capital and fuzzy ... by Liang, Gin-Shuh / Journal of Academy of Business and Economics
The debt ratio increased from about 4 percent to 5 percent Credit rating agencies generally sound the alarm when the debt ratio hits the 8 percent or 9 percent level.
State voters feeling generous despite slow economy. (Up Front) by Fine, Howard / Los Angeles Business Journal
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