I am trying to work out how various ratios are derived - and this question pertains to the D:E ratio. On the SBK site, the D:E ratio is given as: (LT Liab - Int Free Loans + STLoan / ODraft) / Tot SH Int. To test the equation I checked the balance sheet listed on the SBK site for Woolies, and the D:E result was correct - if I assumend that the Int Free Loans was 0. But for Anglo American, I cannot get my equation to match the SBK result (I have checked the SBK balance sheet values against Anglos glossy results): ergo - either SBK has the D:E value wrong, or there is some sort of Int Free Loan, for Anglo around the 1250 mill mark.
I am giving SBK the benefit of the doubt here, since the Woolies D:E value is correct.
Can anyone let me know what or where one might find an Interest Free Loan value in the balance sheet - on the few I have checked there is no row or entry for any Int Free Loan. Could this be called something else?
I am not an accountant and have an extremely simple understanding of balance sheets.
