what is dept rate? it is about baking system
Answers
Hey Mate,
Your question is not clear but still I have explained both "Death Rate" and "Debt Trap"
•DEATH RATE: Number of deaths of thousands of people per year.
•DEBT TRAP: When credit pushes the borrower into a situation from which recovery is very painful.
MARK AS BRAINLIST
In Finance or Accounting,Debt Ratio shows the mathematical comparison or ratio of overall debt and overall asset incurred and accumulated by any company or business organisation.
Explanation:
Debt ratio is the ratio of total or overall debt incurred by any company to the overall or total assets accumulated by the company during a certain time period in business.It is expressed in decimal or percentage form and is more related to business accounting rather than banking.Hence,debt ratio compares the overall asset of any company relative to its total debt.Any value of the debt ratio greater than 1 usually indicates that a significant part of the overall assets held by the company has been invested by its debt level and a debt ratio value of less than 1 implies the majority of the company's overall asset has been financed by its total equity level and not the debt.