Finance Formulas / July 19, 2018 / Aniyah Booth
In corporate finance, the Debt-Service Coverage Ratio (DSCR) is a measure of the cash flow available to pay current debt obligations. The ratio states net operating income as a multiple of debt obligations due within one year, including interest, principal, sinking-fund and lease payments.
In return for your lump sum, the insurance company promises to make regular payments to you (or to a payee you specify) for the chosen length of time most commonly for the remainder of your life, however long that may be.
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