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Commerce · Q961

Accounting

Graduate and Post Graduate · Commerce · question 961

Q961

You wish to invest a large of money in a company for a long-term. which of the following ratios will be most appropriate for you to reach a decision:

A.
Total Debts/Net Worth
B.
Long-term Debts/Total Capitalisation
Answer
C.
Total Debts/Total Equity Share-holdings
D.
Sales less Cost of goods sold/Total Sales

Answer: Option B

Solution

Answer: Option B
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