Given here is the formula to calculate cash coverage ratio. This ratio is useful for determining the amount of cash available to pay for a borrower's interest expense. It is desirable for cash coverage ratio to be greater than 1:1, as it indicates the availability of cash to the amount of interest to be paid. Cash coverage ratio formula is defined as (Earnings Before Interest and Taxes + Non Cash Expenses) / Interest Expense. Refer the below online calculator for manual calculations.