Interest coverage ratio

INTEREST COVERAGE RATIO - earnings before interest and taxes (EBIT) divided by interest expense. This i...
INTEREST COVERAGE TEST - A debt limitation that prohibits the issuance of additional long-term debt if ...

Interest coverage ratio
Profit after net financial items plus financial expenses divided by financial expenses.

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Interest coverage ratio
The ratio of the earnings before interest and taxes to the annual interest expense. This
ratio measures a firm's ability to pay interest.
Interest coverage test ...

Interest Coverage Ratio
A debt ratio that tests the ability of a company to pay the interest charges on its debt and indicates how many times these charges are covered based upon earnings available to pay them.
Interest Rate Risk ...

Interest coverage ratio The ratio of the available for paying the for a given year to the annual interest expense.

EBITDA-To-Interest Coverage Ratio
A ratio that is used to assess a company's financial durability by examining whether it is at least profitably enough to pay off its interest expenses.

Differenciate interest coverage ratio and debt coverage ratio?
What is a good Debt Coverage Ratio?
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To calculate the interest coverage ratio, a company's operating income (also known as earnings before interest and taxes, or EBIT) is divided by its interest charges over a defined period, typically a quarter or half-year.

Expectations Theory
Interest Coverage Ratio
Interest Rate
Interest Rate Ceiling
Interest Rate Parity ...

Coverage ratios Ratios used to test the adequacy of cash flows generated through earnings for purposes of meeting debt and lease obligations, including the interest coverage ratio and the fixed-charge coverage ratio.

Various financial ratios can be computed to measure a company's degree of solvency, such as the debt-equity ratio and the interest coverage ratio.

One interest coverage ratio (EBITDA /Interest Expense) is used to determine a firm's ability to pay interest on outstanding debt. The greater the multiple of cash available for interest payments, the less risk to the lender.

The price paid for borrowing money. It is expressed as a percentage rate over a period of time and reflects the rate of exchange of present consumption for future consumption. Also, a share or title in property.
Interest coverage ratio ...

interest coverage ratio A calculation of a firm's ability to meet its interest payments on outstanding... interest deduction A tax deduction allowed for certain interest expenses, such as those on a home mortgage or a margin account.

See also: Interest cover, Expense, Banks, Net present value, Funding