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Debt-to-Equity Ratio Calculator

Compare total liabilities with positive shareholder equity.

Use a consistent reporting periodCheck the calculation below

Your business figures

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METRIC SNAPSHOT

Your result

Let’s calculate.

Use the Calculate button to see your result.

Review the method below for assumptions and conventions.

How to use this tool

  1. Enter total liabilities, shareholder equity.
  2. Select Calculate to view the result.
  3. Check the method and assumptions below before using the result.

The method, explained

Debt-to-equity = total liabilities/shareholder equity.

A WORKED EXAMPLE

Using total liabilities = 80000 money, shareholder equity = 100000 money, the result is 0.8 ×. Change these example inputs to match your task; use the method above to check each step.

What to keep in mind

Uses total liabilities, not only interest-bearing debt. Negative equity is outside this convention. Use consistent currencies, reporting periods and accounting definitions. This arithmetic estimate excludes items not entered in the form.

Common questions

Which inputs does this calculation need?

Compare total liabilities with positive shareholder equity. Enter total liabilities in money, shareholder equity in money. The filled example is editable and is not a saved personal record.

How should I interpret the result?

Uses total liabilities, not only interest-bearing debt. Negative equity is outside this convention. Use consistent currencies, reporting periods and accounting definitions. This arithmetic estimate excludes items not entered in the form.

Methodology maintained by ClarityKit. How these tools are built and checked.