أنشئ حسابًا أو سجّل الدخول للانضمام إلى مجتمعك المهني.
It provides the proportion of liabilities supplied by the creditors versus the stock holders.
Generally debt - equity ratio evaluate the risk factor for repayment to provider of fund for the particular organization.
it describes the proportion/ ratios of owner's capital (equity) and external liabilities (debt).
Normally it should be 2:1
