Debt-to-equity ratio formula
Description of the Debt-to-equity ratio formula
Formula for the calculation of a company's debt-to-equity ratio.
Formula
\[ \text{Debt-to-equity ratio}=\frac{\text{Debt}}{\text{Book value of shareholders' equity}} \ \]
Additional information related to this formula
Related financial formulas
Cash flow interest coverage ratio • Fixed-charge coverage ratio • Interest coverage ratio • Total debt-to-assets ratio