Match the items in List-I with the items in List-II. List-I List-II a…

Question

Match the items in List-I with the items in List-II. List-I List-II a. Debt equity ratio 1. Net Profit before Interest and Tax Interest on Long-term Loan b. Proprietary ratio 2. Equity Share Capital + Reserve Preference…

Accepted Answer

Option B. a-3, b-4, c-1, d-2. Answer & Solution Answer: Option B No explanation is given for this question Let's Discuss on Board

List-I	List-II
a. Debt equity ratio	1. $\frac{Net Profit before Interest and Tax}{Interest on Long-term Loan}$
b. Proprietary ratio	2. $\frac{Equity Share Capital + Reserve}{Preference Share Capital + Interest Bearing Finance}$
c. Interest coverage ratio	3. $\frac{Long-term Debts}{Shareholder’s Funds}$
d. Capital gearing ratio	4. $\frac{Shareholder’s Funds}{Total Assets}$