Online Business Dictionary
Home
Answers
Videos
Article
Tips
Browse by subject
Most Popular
Term of the Day
BusinessDictionary.com
coverage ratio
Definitions (2)
1.
Banking
:
Measure
of a
bank's
ability
to
absorb
potential losses from its
non-performing loans
.
Formula
: (
Loans
-
Reserve
balance)/Total
amount
of non-performing loans.
2. Finance:
Balance sheet
value
of a
liability
compared with the firm's
ability to pay
.
Related Videos
http://www.businessdictionary.com/definition/coverage-ratio.html
Get our free
Term of the Day
newsletter!
Privacy Policy
Email
Print
Cite
Link
Copy and paste this HTML in your website to link to this page
Nearby Terms
cover bid
cover letter
cover note
cover position
coverage
coverage part
coverage ratio
coverage trigger
Coverdell Education Savings Account (ESA)
covered arbitrage
covered call
covered expenses
covered loss
Popular 'Accounting & Auditing' Terms
accounting
payment terms
accounting concepts
financial management
marginal benefit
letter of credit (L/C)
asset
revenue
pro forma invoice
fixed cost
Mentioned in these terms
fixed-change coverage ratio
debt coverage ratio
debt service coverage ratio
interest coverage ratio
current cash debt coverage ratio
fixed charge coverage ratio
Browse by Letter:
#
A
B
C
D
E
F
G
H
I
J
K
L
M
N
O
P
Q
R
S
T
U
V
W
X
Y
Z