Ratio of total debt to equity in the U.S. 2010-2016

Ratio of total debt to equity in the United States from 1st quarter 2010 to 4th quarter 2016

by M. Szmigiera, last edited Nov 1, 2018
Ratio of total debt to equity in the U.S. 2010-2016 The statistic shows the ratio of total debt to equity in the United States from the first quarter of 2010 to the fourth quarter of 2016. In the last quarter of 2016, the debt to equity ratio in the United States amounted to approximately 54.62 percent.
Debt to equity ratio explained

The debt to equity financial ratio indicates the relationship between shareholders' equity and debt used to finance the assets of a company. In order to make the calculation the data of the two required components are taken from the firm’s balance sheet. If the company is a publicly traded company then it is possible to make the calculation by taking the market value for both.

The composition of debt and equity of an enterprise is much debated as is the influence that it is able to exert on the value of the firm. Nevertheless, it is important in helping investors such as banks to identify companies that are highly leveraged and therefore pose a higher risk. It is best explained by taking the example of an entrepreneur wishing to expand their operation and going to the bank for a loan. If this small business owner had total assets amounting to 120,000 U.S. dollars and liabilities (mostly loans) amounting to 100,000 U.S. dollars the bank to which the request is being made would first have to deduce the business owner’s equity; 20,000 dollars (total assets minus liabilities). With this figure the bank would proceed to divide total liabilities by equity, which gives the ratio of 500 percent. In other terms, this means that for every one dollar of equity the small business owner has 5 dollars of debt. He is highly leveraged and therefore represents high risk to the bank.
Show more

Ratio of total debt to equity in the United States from 1st quarter 2010 to 4th quarter 2016

Statista Accounts: Access All Statistics. Starting from $588 / Year
Basic Account
Get to know the platform

You only have access to basic statistics.

Premium Account
Your perfect start with Statista
  • Instant access to 1m statistics
  • Download in XLS, PDF & PNG format
  • Detailed references

$49 / Month *

Corporate Account
Full access

Corporate solution including all features.

* All products require an annual contract.
   Prices do not include sales tax.
Leading companies trust Statista:
Related Studies: Available to Download in PDF or PPTX Format
Personal debt in the United States
Personal debt in the United States

All Information
in one Presentation

Personal debt in the United States

Everything On "Personal debt in the United States" in One Document: Edited and Divided into Handy Chapters. Including Detailed References.

Statista is a great source of knowledge, and pretty helpful to manage the daily work.
Christof Baron

Christof Baron
CEO, MindShare Germany

Statistics on "Personal debt in the United States"
  • Overview
  • Family debt demographics
  • Student debt
  • Attitudes towards debt
Discover Statista
Need help with using Statista for your research? Tutorials and first steps
Further Content: Statistics, Studies, and Topic Pages
Learn more about how Statista can support your business.
Do you have any questions about our business solutions?

We provide you with detailed information about our Corporate Account.