Leverage Ratios

(4) Debt to asset ratio (formula) = total debt/total asset You do this ratio to find out if a company uses debt, or their money to finance new assets. Source of data for the formula – Balance Sheet for the numerator and the denominator. The result is expressed as a percentage.

Ethan Allen

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Miller Knoll

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Hooker Furniture

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6. Interest coverage ratio (formula) = earnings before interest and taxes (EBIT) divided by interest expenses. Source of data for the formula – Income Statement for the numerator and the denominator. The result is expressed as a decimal.

Ethan Allen

2020-

2019-

2018-

Miller Knoll

2020-

2019-

2018-

Hooker Furniture

2020-

2019-

2018-

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