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What is the Debt Ratio? Describe please.
Define why we measure a project’s risk as the change in the CV. We calculate a project’s risk as the change in the coefficient of variation since this focuses on the change in
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Debt ratio A ratio that points out what proportion of debt a company has relative to its assets. The measure gives a thought to the leverage of the company with the potential risks the company faces in terms of its debt-load. Debt Ratio = Total Debt / Total Assests
Debt ratio
A ratio that points out what proportion of debt a company has relative to its assets. The measure gives a thought to the leverage of the company with the potential risks the company faces in terms of its debt-load.
Debt Ratio = Total Debt / Total Assests
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