Debt-Service Coverage Ratio: A Useful Financial Measurement for Assessing Future Debt Recovery
Debt RR
OCTOBER 13, 2019
This matters because creditors use this information to determine whether to do business with the U.S. Failure to calculate an organization’s DSCR, rather than relying on income statements, can lead a creditor holding the bag when a company collapses and defaults on its obligations. For perspective, the U.S. Treasury Department.
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