Clarifications about ratio analysis

debt equity ratio gives the proportion of debt to equity capital

debt service coverage ratio indicates the number of times earnings available to meet debt obligations

formula:

de ratio= debt / (equity share capital + retained earnings)

debt service coverage ratio=earnings available for meeting debt obligations / (principal amt + interest)

eps= earnings available for equity shareholders / no. of equity shares

EPS - Earnings Per Share

It indicates, companies performance end result to their equity share holder. If EPS higher then previous year, then company performance well and good as compare to previous year.

For formula refer Sheena reply...

thanks and regards,

Baskar