From the following information calculate debt equity ratio.
Balance sheet (Extract) as on 31st March, 2019:
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From the following information calculate debt equity ratio.
Balance sheet (Extract) as on 31st March, 2019:
From the following information calculate debt equity ratio.
Balance sheet (Extract) as on 31st March, 2019:
Debt equity ratio – (Long term debt)/(Shareholders funds)
Debenture = 6,00,000
Shareholders’ funds = Equity share capital + Reserves and surplus
= 6,00,000 + 2,00,000
= 8,00,000
Debt Equity ratio = 6,00,000/8,00,000
= 0.75 : 1