Which ratio indicates the proportion of assets financed out of shareholders’ funds? (A) Debt equity ratio. (B) Fixed assets turnover ratio. (C) Proprietary ratio. (D) Total assets to debt ratio.
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A: The Answer is false Refer step2 for explanation
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- The debt ratio is calculated by dividing:a. total assets by total debt.b. total debt by total assets.c. total assets by long-term liabilities.d. long-term liabilities by total assets.Which ratio measures the ability to pay current liabilities with current assets?a. Debt ratiob. Current ratioc. Liability ratiod. Asset ratioTotal debt-to-assets ratio, debt-to-equity ratio and Long-term debt-to-capital ratio are examples of what type or category of ratios? a. Activity O b. Profitability O c. Liquidity O d. Leverage
- Define these. a. Return on equityb. Total assets turnoverc. Return on assetsd. Current ratioe. Receivables turnoverWhat is the debt to total assets ratio?Which one of the following is the best indicator of long-term debt paying ability? A)Working capital turnover. B)Asset turnover. C)Current ratio. D)Debt to total assets ratio.
- Define Debt-to-assets ratioIt indicates the proportion of debt in relation to resources provided by the owners, a. Debt -to-equity ratio b. Debt ratio c. Equity ratio d. Operating profit marginCapital gearing ratio indicates the relationship between A. assets and capital B. loans and capital C. equity shareholders fund and long term borrowed funds D. debentures and share capital
- Calculate the following Ratios: g) Accounts Payable Turnover Ratio h) Debt ratio i) Return on AssetsThe debt-to-assets ratio is the: Multiple Choice ratio of current liabilities to current assets. same calculation as the current ratio, but with total assets instead of short-term assets. ratio of total liabilities to total assets. proportion of total liabilities financed by creditors.Ratio Analysis -Solvency and Leverage Ratios a. Debit Ratio b. Equity Ratio c. Debt-to-Equity Ratio d. Assets to Equity Ratio e. Time Interest earned Ratio