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Debt |
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DebtThe amount that is owed, as a result of previous borrowing. A country's debt may refer to the debt of its government or to the country as a whole.DebtMoney borrowed.DebtMoney owed to a lender.DebtMoney owed by an individual or company to another individual or company.Similar MatchesSelf supporting debtSelf supporting debtBonds sold to finance a project that will produce enough revenue through tolls or other charges to retire the debt . See: revenue bond. Debt limitDebt limitThe maximum amount that a municipality can borrow. IndebtednessIndebtednessThe amount that is owed; thus amount of an entity's (individual, firm, or govement's) financial obligations to creditors. Debtor daysDebtor daysA ratio used to work out how many days on average it takes a company to get paid for what it sells. Calculated by dividing the figure for trade debtors shown in its accounts by its sales, and then multiplying by 365.E.g. A company with debtors of £700,000 and sales of £12m, takes an average 21.29 days to collect its debts.Obviously, the lower the number of debtor days, the better. An abnormally high figure suggests inefficiency, potential bad debts, window-dressing of the sales figures, or deliberate bullying by large customers trying to improve their own cash management. None of that is good news.Cash businesses, including most retailers, should have very low debt collection multiples, because they get their money at the same time as they sell the goods. The typical target for non-cash businesses will be 50-70 days. Debt ratioDebt ratioTotal debt divided by total assets. Further SuggestionsSenior debtDebt Management Office Debt cancellation Public debt Debt capacity Debt/equity swap Trade debt External debt Floating debt Secured debt Original issue discount debt (OID debt) Monetize the debt senior debt Debt service coverage ratio Mortgage debt Debt service Debt relief Subordinated debt Debtor nation Debtor Debt bomb National debt Debt overhang Debt securities Funded debt |
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