Financial Ratios

Debt-to-Assets Ratio

Definition

What is Debt-to-Assets Ratio?

Debt divided by total assetsThe sum of resources controlled by an entity that are expected to provide economic benefits..

Example in practice

How This Looks in Practice

₦4 billion debt on ₦10 billion assets gives a 40% debt-to-assets ratio.

Keep learning

Related Terms

Think you know your investing terms?

Put your knowledge to the test with a quick quiz.

Take the quiz