Formula to
calculate cash debt coverage ratio:
Cash Debt Coverage = (cash flow from operations -
dividends) / total debt.
Cash debt coverage
ratio definition and explanation:
The cash debt coverage ratio shows the percent of
debt that current cash flow can retire.
A cash debt coverage ratio of 1:1 (100%) or greater
shows that the company can repay all debt within one
year.
The cash debt coverage ratio is included in the financial
statement ratio analysis spreadsheets highlighted in the
left column, which provide formulas, definitions,
calculation, charts and explanations of each ratio.
The cash debt coverage ratio is listed in our liquidity
ratios.
| The cash dedt
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Spreadsheets to
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explanations and charts):
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calculate, define and explain.
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