Definition of Leverage Ratio in the Financial Dictionary - by Free online English dictionary and encyclopedia. What is Leverage Ratio? Meaning of Leverage Ratio as a finance term. What does Leverage Ratio mean in finance?
Define Consolidated First Lien Leverage Ratio. means, as of the date of determination, the ratio of (a) Consolidated Indebtedness as of such date that is secured by first-priority Liens on the Collateral to (b) EBITDA for the most recently ended Test Per
Leverage Ratio Type Purpose Formula Debt-to-Assets Ratio (D/A) The debt-to-assets ratio compares a company’s total debt to its assets, with a higher value meaning that the company has purchased the majority of its assets using debt. Debt-to-Assets Ratio = Total Debt ÷ Total Assets ...
Define Pricing Leverage Ratio. means, as of the last day of each Fiscal Quarter, the ratio of (a) the average daily outstanding principal amount of Funded Debt for the Fiscal Quarter ended on that date to (b) EBITDA for the twelve month fiscal period end
total debt of $45 million, and total equity of $55 million, then the proportionate amount of borrowed money against total assets is 0.45, or less than half of its total resources. When comparing debt to equity, the ratio for this firm is 0.82, meaning equity makes up a majority of the...
For investors considering companies withdebt, one of the most popular evaluations of a company's leverage is thedebt-to-equity ratio(D/E). The interestcoverage ratio, also known as times interest earned, is also a measure of how well a company can meet its interest-payment obligations. In ...
The meaning of leverage ratio is any one of several financial ratios that assess the financial and operational risk of a company. These ratios help us analyze a company's ability to meet all financial obligations. Additionally, these ratios help assess the mix of a firms operating expenses. Fin...
Leverage meaning expanded trading base, while leverage work as trading multiplier of the initial trading account balance in a certain number of times depending on the leverage level. Leverage levels usually expressed as a Leverage ratio, means the trader should have at least a particular percentage ...
, shareholders willreceiveless moneyThe company hasreduced its leverage, primarily through asset sales.a warning to investors about the risks ofhigh leverageHeavy leverageand aggressive expansion made for a weak balance sheet.→debt leverage→financial leverage→loan leverage→see alsodebt-equity ratio...
In addition, if an insured depository institution is being covered by a corrective action framework, meaning it demonstrated capital deficiencies in the past, it must demonstrate at least a 6% Tier 1 leverage ratio to be considered well-capitalized. ...