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Debt to Income Ratio Calculator

LAST UPDATE: September 24th, 2020

Calculator

Definition – What is the debt to income ratio?

Debt to income is a ratio of a firm’s total debt to their level of income.

Formula – How to calculate debt to income ratio

Debt to Income =  Total Debt / Net Income

Example

A company has total debt of $5,000 and net income of $2,500.

Debt to Income = $5,000 / $2,500 = 2

Therefore, this company’s debt to income ratio is 2.

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