Debt and coverage ratios, Financial Management

The ability of a firm to satisfy its debt obligations can be assessed using three sets of ratios:

  • Short-term solvency ratios

  • Capitalization (or financial leverage) ratios

  • Coverage ratios.

In addition to these ratios, an analyst should look at the maturity structure of the debt.

Posted Date: 9/10/2012 9:19:37 AM | Location : United States

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