The debt-to-equity (D/E) ratio indicates how much debt a company is using to finance its assets relative to the value of shareholders’ equity.

Long-Term Debt to Equity Ratio = Long-Term Debt / Shareholders’ (or Total) Equity LTDE Ratio = 500,000 / 1,000,000 = 0.5 This means that the company has $0.50 of long-term debt for every dollar ...

Long-term debt / Total assets = Long-term debt ratio For example, let’s say a company has $1,200,000 in long-term debt and $2,000,000 in total assets. Here’s how the formula would look: ...

The usual formula for the ratio is total debt divided by equity. So if total debt is $12,000,000 and equity $9,000,000, the debt-to-equity ratio is calculated as follows: 12,000,000 / 9,000,000 ...

Explore the significance of the debt-to-equity ratio in assessing a company's risk. Learn calculations, industry standards, and business implications.

Example of Long-Term Debt to Assets Ratio . If a company has $100,000 in total assets with $40,000 in long-term debt, its long-term debt-to-total-assets ratio is $40,000/$100,000 = 0.4, or 40%.

As of November 2021, Bed Bath & Beyond reported short-term debt of $348 million, long-term debt of $2,713 million, and shareholders' equity of $554 million. D/E = Total Liabilities / Shareholders ...

Long-term debt is debt that is to be repaid over a period greater than 12 months. Discover how it compares to short-term debt, its pros, cons and more.

The debt-to-equity ratio formula also works in personal finance. Simply replace shareholders' equity with net worth. Someone with $10,000 in credit card debt, a $250,000 mortgage and a $20,000 car ...

Shares of Formula Systems (1985) (NASDAQ: FORTY) moved lower by 16.87% in the past three months. Before having a look at the importance of debt, let us look at how much debt Formula Systems (1985 ...

The long-term liability to equity ratio is a zoomed-in version of the regular D/E ratio. It focuses on long-term debt (loans, bonds) to assess a company's ability to handle debt over time.