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Debt-to-Equity Ratio Calculator

Compare total liabilities with positive shareholder equity.

Use a consistent reporting periodCheck the calculation below
Business dashboard
Business dashboard

Use figures from the same reporting period.

See the method

Enter your business figures

Runs on your device

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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.

Input reference and sample values

Use the units and choices shown for each field. Sample values are provided for practice, not as recommendations.

InputFormat and unitsSample
Total liabilitiesNumeric value. Unit: money. Zero or positive.80000
Shareholder equityNumeric value. Unit: money. Must be greater than zero.100000

Result for these sample inputs

0.8 ×

Select Try the example in the form to load these values and calculate them again. This replaces the current form inputs. Compare the result with the method and worked explanation below.

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.

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