One of the many variables lenders use when deciding whether or not to loan you money is your debt-to-income ratio or DTI. Your DTI reveals how much debt you owe compared to the income you earn. Higher ...

Learn about the reserve ratio, its role in banking and monetary policy, and how it’s calculated to influence lending and economic stability.

GCD stands for Greatest Common Divisor. It is also called HCF (Highest Common Factor). In simple words, it is the greatest number that can divide a particular set of numbers. For example, the Greatest ...

Debt-to-income (DTI) ratio compares how much you earn to your total monthly debt payments. Understanding your DTI is crucial if you are thinking about buying a home or refinancing a mortgage. Crunch ...

A bank’s capital adequacy ratio measures its capital buffer as a proportion of risk‑adjusted credit exposures. The capital adequacy ratio (CAR) expresses how much capital a bank holds compared to its ...

If you’re a business owner looking for a loan, your lender will be looking for your solvency ratio. Of course, if you have a startup and are new to running a business, you may not know what a solvency ...

The stock turnover ratio is another term for inventory turnover ratio. A stock turnover ratio measures the speed with which your inventory sells after you acquire it. Put another way, a stock turnover ...

The overhead ratio measures how much of a company's total revenue is spent on indirect costs. This metric is useful for identifying areas where costs can be reduced to improve profitability. Analyzing ...

The compression ratio isn’t just a number: it’s one of the greatest determining factors in engine building. Compression ratio determines the type of fuel, how much boost, and has a significant ...

One of the many variables lenders use when deciding whether or not to loan you money is your debt-to-income ratio or DTI. Your DTI reveals how much debt you owe compared to the income you earn. Higher ...

Companies prefer raising funds through debt capital as it is cost-effective. In this way, they can save themselves from paying high-interest rates if they raise through financial institutions.