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Generally, the higher the ratio, the greater the "cushion" between current compare personal loan interest rates nz and a firm's ability to meet them. Debt An amount owed for funds borrowed. The debt may be owed to an organization's own reserves, individuals, banks, or other institutions.
Generally, the debt is secured by a note, bond, mortgage, or other instrument that states repayment and interest provisions. The note, in turn, may be secured by a lien against property or other assets. Debt Service Amount of payment due regularly to meet a debt agreement; usually a monthly, quarterly or annual obligation. Debt Service Reserve Term used to refer to cash reserves set aside by a borrower, either by internal policy or lender covenant, to repay debt in the event that cash generated by operations is insufficient.
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