The total-debt-to-total-assets ratio or assets to liabilities ratio, is used to measure a company's performance. Here's how to calculate and why it matters.

A good way to measure a bank's regulatory capital is by looking at its common equity tier 1 (CET1) capital ratio, which measures a bank's core capital expressed as a percentage of total risk ...

The bank must maintain a CET1 ratio of 8.68%, Tier 1 capital ratio of 10.51%, and a Total Capital ratio of 12.94%, with a leverage ratio requirement of 3%.

All other things equal, a banks with lower-risk assets such as U.S. government debt would have a better Tier 1 risk-based capital ratio than a bank with higher-risk assets such as junk bonds.

T he total-debt-to-total-assets ratio is one of many financial metrics used to measure a company’s performance. In this case, the ratio shows how much of a company’s operations are funded by debt.