Value Adjusted Equity Ratio Sample Clauses
The Value Adjusted Equity Ratio clause defines how a company's equity ratio is calculated by adjusting the value of certain assets or liabilities. In practice, this clause may specify that book values are replaced with market values or that specific adjustments are made to reflect fair value, often for the purposes of financial covenants or compliance with loan agreements. Its core function is to provide a more accurate and relevant measure of a company's financial health, ensuring that ratios used in agreements reflect current economic realities rather than outdated or book-based figures.
Value Adjusted Equity Ratio maintain a Value Adjusted Equity Ratio at a minimum of 35%.
Value Adjusted Equity Ratio at all times the Value Adjusted Equity Ratio shall be not less than 30%.
Value Adjusted Equity Ratio. The Borrower on a consolidated basis has Value Adjusted Equity of less than twentyfive per cent (25 %) of the Value Adjusted Assets