Senior Debt Ratio Formula

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Senior Debt Ratio helps assess the proportion of a company's financing that comes from senior debt in relation to its equity. Check FAQs
SDR=SDEBITDA
SDR - Senior Debt Ratio?SD - Senior Debt?EBITDA - EBIT and Depreciation and Amortization?

Senior Debt Ratio Example

With values
With units
Only example

Here is how the Senior Debt Ratio equation looks like with Values.

Here is how the Senior Debt Ratio equation looks like with Units.

Here is how the Senior Debt Ratio equation looks like.

2.375Edit=950000Edit400000Edit
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Senior Debt Ratio Solution

Follow our step by step solution on how to calculate Senior Debt Ratio?

FIRST Step Consider the formula
SDR=SDEBITDA
Next Step Substitute values of Variables
SDR=950000400000
Next Step Prepare to Evaluate
SDR=950000400000
LAST Step Evaluate
SDR=2.375

Senior Debt Ratio Formula Elements

Variables
Senior Debt Ratio
Senior Debt Ratio helps assess the proportion of a company's financing that comes from senior debt in relation to its equity.
Symbol: SDR
Measurement: NAUnit: Unitless
Note: Value should be greater than 0.
Senior Debt
Senior Debt refers to a form of debt that has priority over other forms of debt in the event of liquidation or bankruptcy.
Symbol: SD
Measurement: NAUnit: Unitless
Note: Value should be greater than 0.
EBIT and Depreciation and Amortization
EBIT and Depreciation and Amortization is a measure of a company's operating performance and profitability before considering the effects of interest expenses and income taxes.
Symbol: EBITDA
Measurement: NAUnit: Unitless
Note: Value should be greater than 0.

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How to Evaluate Senior Debt Ratio?

Senior Debt Ratio evaluator uses Senior Debt Ratio = Senior Debt/EBIT and Depreciation and Amortization to evaluate the Senior Debt Ratio, The Senior Debt Ratio is a financial metric that evaluates a company's financial leverage by comparing its senior debt to its total assets. Senior Debt Ratio is denoted by SDR symbol.

How to evaluate Senior Debt Ratio using this online evaluator? To use this online evaluator for Senior Debt Ratio, enter Senior Debt (SD) & EBIT and Depreciation and Amortization (EBITDA) and hit the calculate button.

FAQs on Senior Debt Ratio

What is the formula to find Senior Debt Ratio?
The formula of Senior Debt Ratio is expressed as Senior Debt Ratio = Senior Debt/EBIT and Depreciation and Amortization. Here is an example- 2.375 = 950000/400000.
How to calculate Senior Debt Ratio?
With Senior Debt (SD) & EBIT and Depreciation and Amortization (EBITDA) we can find Senior Debt Ratio using the formula - Senior Debt Ratio = Senior Debt/EBIT and Depreciation and Amortization.
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