Category: Personal Finance Ratios


Solvency Ratio

Solvency Ratio in personal finance is used to determine if you can pay off all your debts by selling your assets in case of a financial emergency. It is measured by comparing your total...


Debt To Income Ratio

Debt-to-Income Ratio in personal finance is a comparison of your debt payment amount against your income. This ratio is best to be calculated on monthly basis. It is calculated as below: DEBT-TO-INCOME RATIO =...


Net Worth Ratio

Net Worth Ratio, also known as Asset to Debt Ratio in personal finance is your balance sheet measuring your net wealth at a given point in time. This ratio compares the total assets you...


Current Ratio

Current Ratio is a very important liquidity ratio used in both business finance as well as personal finance. It is called so because it considers only current assets and current liabilities. It is calculated...


Liquidity Ratio

Liquidity ratio in personal finance indicates your ability to meet committed expenses by using your cash assets. This ratio tells how comfortably you can meet your financial obligations when you are faced with any...

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