Debt Ratio Calculator

This online calculator helps you to calculate debt ratio based on the total liabilities and total assets of a company. Debt ratio is defined as the ratio of long-term and short-term debt to total assets. The debt ratio is expressed as a decimal or percentage. In other words, debt ratio is defined as the ratio or proportion of a company's assets that are financed by debt. Enter total liabilities and total assets in this debt ratio calculator to find the resultant value.

Calculate Debt Ratio

This online calculator helps you to calculate debt ratio based on the total liabilities and total assets of a company. Debt ratio is defined as the ratio of long-term and short-term debt to total assets. The debt ratio is expressed as a decimal or percentage. In other words, debt ratio is defined as the ratio or proportion of a company's assets that are financed by debt. Enter total liabilities and total assets in this debt ratio calculator to find the resultant value.

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Formula:

Debt Ratio (DR) = Total Liabilities / Total Assets

Example:

Calculate debt ratio having a total liabilities of Rs. 50 and total assets of Rs. 84.

Solution:

Debt Ratio = 50 / 84
= 0.595

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