So you want to know more about the company's debts by analyzing the debt indicators that are calculated based on the balance sheet, am I right? Well, you can continue watching this video as we will talk about these indicators and take the opportunity to subscribe to the channel that has a lot of accounting content, books, studies and the financial market for you. IN THIS VIDEO: DEBT INDICATORS (BALANCE SHEET - OWN CAPITAL X THIRD PARTY CAPITAL) Before I show you the formulas for the indicators, let me delve a little deeper into this balance sheet so that you understand how to interpret the information. The balance sheet is a representation of the company's accounting value on a specific date, as if the company were frozen on that date and you could see the composition of its equity. Equity is shown on the balance sheet through assets, liabilities and equity. It will show you what the company owns, its assets and rights and how it pays for them. Representing the balance sheet in a didactic way, here for you we have 3 groups of accounts: assets, liabilities and equity. The balance sheet has this name because it assumes a balance between the sides, that is: Assets = Liabilities + Equity In the assets, you find all the goods and rights that generate future economic benefits for the company, everything that it uses to run its business and the rights that it has to receive will be recorded in the assets. Liabilities Refer to the obligations that the company will have to settle, pay with its suppliers, banks, employees, governments and others. In the liabilities, located on the right side of the balance sheet, are the company's obligations, such as invoices to be paid, salaries to be paid, loans to be paid, taxes to be paid and others. Equity These are the resources of the owners invested in the company. The resources are Capital plus its income, Profits and Reserves. • Equity, which are the resources raised from partners (shareholders); • Third-party capital, which are debts in general (with financial institutions, suppliers, creditors in general). An analysis of a company's debt situation indicates how much third-party money is used to generate profit. The General Debt Ratio is one of the most basic financial indicators used in analyzing a company's debt. It determines the proportion of a company's debt compared to its total assets. In other words, how much of the company's assets are financed by third parties. In general, the higher the debt, the greater the risk that the company will not be able to honor its future commitments. This debt is also called financial leverage. When you hear that a company is “highly leveraged,” it means that it is in debt, that the ratio of its debts to its total assets is high. Is debt always bad? Is there no such thing as good debt? What if the cost of debt is lower than the profitability of the asset it finances? In other words, what if the cost of debt is lower than the return it provides? What if the term is long enough for this cost to become attractive? Video link: • INDEBTEDNESS INDICATORS (BALANCE SHEET... Follow the channel for more studies on the financial market, stock exchange, book summaries and accounting. This channel is for recording studies and sharing knowledge! Here on this channel you will find: Summary of the books I have read, main ideas learned. Several studies of Technical + Fundamental Analysis Dollar and index studies carried out on weekends Some academic articles read TradingView tutorials Accounting Concepts Advanced accounting concepts Analysis of companies' DF's (financial statements) Subscribe and follow!! It's just the beginning! ???????? ACCOUNTING ACCOUNTANT ACCOUNTING SCIENCE ACCOUNTING ASSETS LIABILITIES NET WORTH Balance Sheet Income Statement Fiscal Year Accounting Statements Financial Statements Cash Flow _________________________________________ #balancesheet​ #financialstatements #indebtedness #accounting #liabilities #currentliabilities #financialindicators #finance