Debt Ratio Solution

STEP 0: Pre-Calculation Summary
Formula Used
Debt Ratio = Total Debt/Total Assets
DR = TD/TA
This formula uses 3 Variables
Variables Used
Debt Ratio - Debt Ratio is a financial ratio that measures the extent of a company’s or consumer’s leverage.
Total Debt - Total Debt is the net debt of a company minus cash on hand.
Total Assets - Total Assets are the final amount of all gross investments, cash and equivalents, receivables, and other assets as they are presented on the balance sheet.
STEP 1: Convert Input(s) to Base Unit
Total Debt: 2500000000 --> No Conversion Required
Total Assets: 100000 --> No Conversion Required
STEP 2: Evaluate Formula
Substituting Input Values in Formula
DR = TD/TA --> 2500000000/100000
Evaluating ... ...
DR = 25000
STEP 3: Convert Result to Output's Unit
25000 --> No Conversion Required
FINAL ANSWER
25000 <-- Debt Ratio
(Calculation completed in 00.004 seconds)

Credits

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Debt Ratio Formula

Debt Ratio = Total Debt/Total Assets
DR = TD/TA

How to Calculate Debt Ratio?

Debt Ratio calculator uses Debt Ratio = Total Debt/Total Assets to calculate the Debt Ratio, Debt Ratio is a financial ratio that measures the extent of a company’s or consumer’s leverage. Debt Ratio is denoted by DR symbol.

How to calculate Debt Ratio using this online calculator? To use this online calculator for Debt Ratio, enter Total Debt (TD) & Total Assets (TA) and hit the calculate button. Here is how the Debt Ratio calculation can be explained with given input values -> 25000 = 2500000000/100000.

FAQ

What is Debt Ratio?
Debt Ratio is a financial ratio that measures the extent of a company’s or consumer’s leverage and is represented as DR = TD/TA or Debt Ratio = Total Debt/Total Assets. Total Debt is the net debt of a company minus cash on hand & Total Assets are the final amount of all gross investments, cash and equivalents, receivables, and other assets as they are presented on the balance sheet.
How to calculate Debt Ratio?
Debt Ratio is a financial ratio that measures the extent of a company’s or consumer’s leverage is calculated using Debt Ratio = Total Debt/Total Assets. To calculate Debt Ratio, you need Total Debt (TD) & Total Assets (TA). With our tool, you need to enter the respective value for Total Debt & Total Assets and hit the calculate button. You can also select the units (if any) for Input(s) and the Output as well.
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