The Debt to Equity Ratio Calculator works out your debt-to-equity ratio, along with 1 related figure in an instant. Enter total liabilities / debt and total shareholders' equity and the result updates as you type — it is free, needs no sign-up, and runs entirely in your browser so your figures stay private.
Enter the total liabilities / debt.
Enter the total shareholders' equity.
Read off your debt-to-equity ratio, together with debt as % of equity — the calculator updates automatically, with no button to press.
Formula
The Debt to Equity Ratio Calculator uses the formula:
Debt-to-equity ratio = Total liabilities ÷ debt ÷ Total shareholders' equity
Worked example
For example, with total liabilities / debt of ₹4,000,000 and total shareholders' equity of ₹8,000,000, the debt-to-equity ratio is 0.50.
Inputs used
Total liabilities / debt
₹4,000,000
Total shareholders' equity
₹8,000,000
Results
Debt-to-equity ratio
0.50
Debt as % of equity
50.0%
Results are estimates for educational use, not professional advice.
Key terms explained
Ratio
A comparison of two quantities showing how many times one contains the other.
Frequently asked questions
It is total liabilities divided by shareholders' equity. A company with 40,00,000 debt and 80,00,000 equity has a D/E of 0.5.
It varies by industry. A ratio below 1 is often seen as conservative, while capital-heavy industries may run higher. Compare with peers, not in isolation.
It shows how much a business is funded by debt versus owners' money. High leverage can boost returns but increases risk if earnings fall.
Use total liabilities, or interest-bearing debt for a stricter view. Be consistent so the ratio is comparable over time.
The Debt to Equity Ratio Calculator uses the formula: Debt-to-equity ratio = Total liabilities ÷ debt ÷ Total shareholders' equity. For example, with total liabilities / debt of ₹4,000,000 and total shareholders' equity of ₹8,000,000, the debt-to-equity ratio is 0.50.
Enter the total liabilities / debt. Enter the total shareholders' equity. Read off your debt-to-equity ratio, together with debt as % of equity — the calculator updates automatically, with no button to press.
Reference table of debt-to-equity ratio for Debt to Equity Ratio across a range of total liabilities / debt values — exact, engine-computed figures you can read off at a glance.