Master License & Investigations NYNY Dec 2019 Material

2019 NIGA CERTIFICATION COURSE

FINANCIAL HEALTH (Solvency)

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Debt Ratio

TOTAL Debt TOTAL Assets

Debt to Assets =

**DTA > 1 = Indicates liabilities are greater than assets and the risk of default, i.e. the inability to pay debts with assets.

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WHAT DO THE RESULTS TELL YOU?

(c) 2019 - N WADDELL, CPA, CGMA, PROFESSIONAL CORP.

ADEQUATE WORKING CAPITAL POTENTIAL INABILITY TO QUICKLY PAY SHORT TERM OBLIGATIONS OVER LEVERAGED

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(c) 2019 - N WADDELL, CPA, CGMA, PROFESSIONAL CORP.

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