Debt service coverage ratio

The financial definition for Debt service coverage ratio:

Earnings before interest and income taxes, divided by interest expense plus the quantity of principal repayments divided by one minus the tax rate.

Similar Matches

Adequacy of coverage

Adequacy of coverage
A test that measures the extent to which the value of an asset is protected from potential loss either through insurance or hedging.

Asset coverage test

Asset coverage test
A bond indenture restriction that permits additional borrowing if the ratio of assets to debt does not fall below a specified minimum.

Cash flow coverage ratio

Cash flow coverage ratio
The number of times that financial obligations (for interest, principal payments, preferred stock dividends, and rental payments) are covered by earnings before interest, taxes, rental payments, and depreciation.

Further Suggestions

Coverage initiated
Coverage ratios
Debt service coverage
Guaranteed replacement cost coverage insurance
Initiate coverage
Overall market price coverage

Click to compare definitions of
Debt service coverage ratio
Click to view definitions beginning de
  www.financial-terms.co.uk is a finance, business, investment and stock market resource of common financial words.