Total monthly loan payments divided by monthly gross (before-tax) income; provides a measure of the ability to pay debts
Posted: Thu Jul 21, 2022 8:52 pm
Total monthly loan payments divided by monthly gross (before-tax) income; provides a measure of the ability to pay debts promptly is:
A. Solvency ratio
B. Liquidity ratio
C. Savings ratio
D. Debt service ratio
A. Solvency ratio
B. Liquidity ratio
C. Savings ratio
D. Debt service ratio