DEBT SERVICE COVERAGE Definition

Bookmark and Share

DEBT SERVICE COVERAGE is the ratio of cash flow available to pay for debt to the total amount of debt payments to be made (interest and principal payments).

Learn new Accounting Terms

BUSINESS SEGMENT is a component of an enterprise that (a) provides a single product or service or a group of related products and services and (b) that is subject to risks and returns that are different from those of other business segments.

STATUTORY ACCOUNT is an involuntary account, which is created by law rather than by business need. An example of a statutory account would be taxes.

Suggest a Term

Enter Search Term

Enter a term, then click the entry you would like to view.