Debt to worth ratio Solution

STEP 0: Pre-Calculation Summary
Formula Used
Debt to Worth Ratio = Total Liabilities/Net Worth
DW = TL/NW
This formula uses 3 Variables
Variables Used
Debt to Worth Ratio - Debt to Worth Ratio, also called the leverage ratio is used to help describe how much debt is used to finance the business.
Total Liabilities - Total Liabilities are the company debts or obligations that are due within one year.
Net Worth - Net worth is the value of all the non-financial and financial assets owned by an individual or institution minus the value of all its outstanding liabilities.
STEP 1: Convert Input(s) to Base Unit
Total Liabilities: 45010 --> No Conversion Required
Net Worth: 588000 --> No Conversion Required
STEP 2: Evaluate Formula
Substituting Input Values in Formula
DW = TL/NW --> 45010/588000
Evaluating ... ...
DW = 0.076547619047619
STEP 3: Convert Result to Output's Unit
0.076547619047619 --> No Conversion Required
FINAL ANSWER
0.076547619047619 0.076548 <-- Debt to Worth Ratio
(Calculation completed in 00.004 seconds)

Credits

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Bhilai Institute of Technology (BIT), Raipur
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3 Solvency Ratio Calculators

Accounts Payable Turnover Ratio
Go Accounts Payable Ratio = Total Supply Purchases/((Beginning Accounts Payable+Ending Accounts Payable)/2)
Working capital
Go Working Capital = Current Assets-Current Liabilities
Debt to worth ratio
Go Debt to Worth Ratio = Total Liabilities/Net Worth

Debt to worth ratio Formula

Debt to Worth Ratio = Total Liabilities/Net Worth
DW = TL/NW

How to Calculate Debt to worth ratio?

Debt to worth ratio calculator uses Debt to Worth Ratio = Total Liabilities/Net Worth to calculate the Debt to Worth Ratio, Debt to Worth Ratio, also called the leverage ratio is used to help describe how much debt is used to finance the business. Debt to Worth Ratio is denoted by DW symbol.

How to calculate Debt to worth ratio using this online calculator? To use this online calculator for Debt to worth ratio, enter Total Liabilities (TL) & Net Worth (NW) and hit the calculate button. Here is how the Debt to worth ratio calculation can be explained with given input values -> 0.076548 = 45010/588000.

FAQ

What is Debt to worth ratio?
Debt to Worth Ratio, also called the leverage ratio is used to help describe how much debt is used to finance the business and is represented as DW = TL/NW or Debt to Worth Ratio = Total Liabilities/Net Worth. Total Liabilities are the company debts or obligations that are due within one year & Net worth is the value of all the non-financial and financial assets owned by an individual or institution minus the value of all its outstanding liabilities.
How to calculate Debt to worth ratio?
Debt to Worth Ratio, also called the leverage ratio is used to help describe how much debt is used to finance the business is calculated using Debt to Worth Ratio = Total Liabilities/Net Worth. To calculate Debt to worth ratio, you need Total Liabilities (TL) & Net Worth (NW). With our tool, you need to enter the respective value for Total Liabilities & Net Worth 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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