Annual debt service

annual debt service
required annual principal and interest payments for a loan. In corporate finance, the cash required in a year for payments of interest and current maturities of principal on outstanding debt.
Dictionary of Real Estate Terms ...

ANNUAL DEBT SERVICE - Monthly loan payments (principal and interest, if any) times 12 months.
ANNUAL EARNINGS CHANGE - (%) The historical earnings change between the most recently reported fiscal y...

ANNUAL DEBT SERVICE - See: DEBT SERVICE.
ANNUAL FEE - (1) The fee charged by the MSRB on an annual basis to broker-dealers that engage in municipal securities activities.

Annual Debt Service Coverage Ratio (ADSCR): The ratio between operating cash flow and debt service during any one-year period. This ratio is used to determine a project's debt capacity.

Maximum Annual Debt Service
The maximum amount of principal and interest due by a revenue bond issuer on its outstanding bonds in any future fiscal year. This is sometimes the amount to be maintained in the Debt Service Reserve Fund.

Cash-On-Cash Return
Annual Debt Service
Debt Coverage Ratio (business term)
Break-Even Point
Financial Leverage
Debt Service Fund (in accounting)
Equity Yield Rate (business term)
Level Debt Service (business term)
Workout (business term)
Refunding ...

35Ã- (net operating income divided by annual debt service) to be satisfied that there is sufficient cash flow available on an ongoing basis to repay the loan instalments.
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(1) Municipal bonds: Net revenues divided by annual debt service (2) Corporate interest coverage: E.B.I.T. divided by interest expense. (3) Preferred divided coverage: Net Income divided by preferred dividends.

It is also sometimes refered to as annual debt service cover ratio (ADSCR). DSCR is also sometimes used to refer to a country's ability to pay foreign debt, that is more often called debt service ratio.

Cash Flow: As an investment term, cash flow means the amount of cash received annually from an investment, which is the annual net income from the property less the annual debt service on the property.

Debt Service Coverage. The borrower's annual net operating income before debt service and taxes divided by the annual debt service. A measure of how safe the loan is to the lender.

to make principal and interest payments to the bank or to bond holders with the amount of those required principal and interest payments. Debt service coverage is expressed as a ratio with the annual net income divided by the annual debt service ...

See also: Debt service, Expense, Sinking Fund, Personal finance, Acquisitions