Variable Description

Name
Liability structure
Label
Liability structure
Description

Total proprietor or shareholder funds divided by (total proprietor or shareholder funds plus total liabilities).

The liability structure ratio represents equity solely as a proportion of equity plus liabilities. A low ratio indicates a low level of owner’s equity in the business, and a higher risk to debt holders. A high ratio indicates a high level of owner’s equity in the business, and a lower risk to debt holders.

This variable is not part of a dataset.

Representation

Representation Type
Numeric
Type
Integer
Variable is a Weight
False
Aggregation Method
Unspecified
Temporal
False
Geographic
False

Concept