Communiquez avec les autres et partagez vos connaissances professionnelles

Inscrivez-vous ou connectez-vous pour rejoindre votre communauté professionnelle.

Suivre

What is the relationship between debt to assets and debt to equity ratio?

 Debt to Assets = total debt / total assets

its measure how the debt covered by assets , important for supplier to see who to recover it money

2- Debt to equity = debt / equity 

As beer as total assets more than the equity so , debt to assets less than debt to equity 

 

  

user-image
Question ajoutée par Maged Mansour CMA , chief accountant , Al Jabr Holding Company - Investment Sector
Date de publication: 2017/08/06
zeinab Fakih
par zeinab Fakih , Audit Manager and Tax Expert , FAKIH AUDIT

The debt-equity ratio is a leverage ratio that compares a company's total liabilities to its total shareholders' equity. It is a measurement of the percentage of the company's balance sheet that is financed by suppliers, lenders, creditors and obligors versus what the shareholders have committed.

More Questions Like This