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Flashcards in Financial Ratios Deck (4):
1

Debt Ratio

Debt / Total Assets = Debt %

Solvency Rate

Note - Debt Ratio is NOT the same as Debt-Equity ratio.

2

Debt-Equity Ratio

Debt / SHE = Debt - Equity %

Leverage

3

ROI

Net Income / Investments = ROI

Profitability ratio b/c it tells you how much you got in return for investing

4

ROE

Net Income / SHE = ROE

Profitability ration b/c it tells you how much you got in return as an Equity shareholder