Ratio used for credit analysis How do you analyse the credit capacity of the corporate

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Credit analysis ratio and methods for corporate credit capacity analysis

Ratio used for credit analysis includes debt-to-equity ratio, current ratio, and interest coverage ratio
Credit capacity analysis involves assessing the company's financial statements, credit history, and industry trends
Other factors to consider include management quality, market position, and economic conditions
Credit rating agencies such as Moody's and S&P also provide credit analysis and ratings
The analysis helps determine the company's ability to repay debt and manage financial obligations

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