Leverage Ratios - Business Finance - ثاني ثانوي
PART 1
Chapter 1 An Introduction to Basic Finance
Chapter 2 The Role of Financial Markets and Financial Intermediaries
Chapter 3 Analysis of Financial Statements
PART 2
Chapter 4 An Introduction to Financial Markets
Chapter 5 Opportunity Costs and the Time Value of Money
Chapter 6 Risk and Its Measurements
Chapter 7 Stock and Bonds
![3.9 Leverage Ratios](https://assets.sahl.io/courses/1203/images/9684ed4d-fa78-4772-b7a3-23f0df3be58f/img-116.webp)
Key Terms Debt/net worth ratio
3.9a Debt/Net Worth Ratio
Noor’s furniture factory is currently carrying SAR 12,450,000 in debt. Its balance sheet shows an equity of SAR 3,500,000.
Debt/net worth ratio
Debt ratio
![3.9 Leverage Ratios](https://assets.sahl.io/courses/1203/images/9684ed4d-fa78-4772-b7a3-23f0df3be58f/img-117.webp)
3.9b Debt Ratio
Noor’s furniture factory has SAR 12,450,000 in debt, and its total assets are worth SAR 25,750,000.
![](https://sahl.io/img/main/p.png)
![](https://sahl.io/img/main/np.png)