To calculate your DTI, enter the debt payments you owe each month, such as rent or mortgage, student loan and auto loan payments, credit card minimums and other regular payments. Then, adjust the slider to match your gross monthly income (total income before taxes and other deductions). Ho...
How can I calculate my debt-to-income ratio? The easiest way to calculate your debt-to-income (DTI) ratio is to add up all your monthly debt payments and divide that amount by your gross monthly income. Let’s walk through the steps in more detail: ...
Learn how to calculate compa-ratio (comparative ratio) to compare salaries between employees in each position, plus how this data can benefit your organization.
The quantity of products, not their dollar value, is what is meant by the average inventory level. It is simpler to calculate the average inventory level than the average inventory cost. You perform the identical calculations, but you don't give the goods a cost. Simply average their quantity...
while others combine them. The relative success of combining them depends on the company’s experience, the value of its products and return volume. Either way, they use practices to maximize theirprofitability ratioswith their supply chain activities. Read these experttips on how to maximize profi...
However, an acceptable range for the current ratio could be 1.0 to 2. Ratios in this range indicate that the company has enough current assets to cover its debts, with some wiggle room. A current ratio lower than the industry average could mean the company is at risk for default, and in...
It is vital to compare the ratios between companies operating in the same industry and not for companies operating in different industries. The benchmark ratio varies greatly depending on the industry. A low turnover implies that a company’s sales are poor, it is carrying too much inventory,...
How Do I Calculate the Total Housing Expense Ratio? Divide your total housing expenses by your gross monthly income. Your total housing expenses should include your mortgage payment, insurance, and taxes. What Is the 28 36 Rule? The 28/36 rule is used as a guideline for how much of your...
How to Calculate Growth Rates Growth rates can be calculated in several ways, depending on what the figure is intended to convey. A simple growth measurement simply divides the difference between the ending and starting value by the beginning value, or (EV-BV)/BV. Theeconomic growth of a cou...
to retire. Then, subtract your Social Security amount from your expected yearly expenses. Let's say you calculate your yearly expenses to be $45,000 and you expect $20,000 from Social Security each year; $45,000 minus $20,000 gives you $25,000 (the amount you'll spend out of pocket...