Leverage Ratio
The leverage ratio measures how much of a company’s assets are financed through debt. It helps assess financial stability and risk exposure. Common leverage ratios include debt-to-equity and debt-to-assets, which show how dependent a company is on borrowed funds.
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Life Cycle Costing
Life cycle costing analyses the total cost of owning, operating, maintaining, and disposing of an asset over its useful life.…
Labour Cost Variance
Labour cost variance measures the difference between the standard labour cost and the actual labour cost incurred. It helps identify…
Loan Covenant
A loan covenant is a condition or restriction set by lenders to ensure borrowers maintain financial discipline. Covenants may require…
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