Fixed Charge Coverage Calculator
Calculate the fixed charge coverage ratio to measure a firm's ability to cover fixed obligations like lease payments and interest.
How to Use the Fixed Charge Coverage Calculator
- Enter EBIT.
- Enter fixed charges incurred before taxes.
- Enter total fixed charges including interest and leases.
- Click Calculate.
حالات الاستخدام
- •Loan covenant compliance
- •Lease obligation assessment
- •Financial risk analysis
الصيغة
FCCR = (EBIT + Fixed Charges Before Tax) / Total Fixed Charges
الأسئلة الشائعة
What are fixed charges?
Fixed charges include interest payments, lease obligations, and any other recurring contractual payments.
What is a good FCCR?
A ratio above 1.25 is typically the minimum for lenders, while above 2 is considered strong.
Is this calculator free?
Yes, all calculators are completely free.