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Equity Share Capital `20,00,000; Reserves `5,00,000; Debentures `10,00,000; Current Liabilities `8,00,000. Debt-equity ratio will be:

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Equity Share Capital `20,00,000; Reserves `5,00,000; Debentures `10,00,000; Current Liabilities `8,00,000. Debt-equity ratio will be:

 Options:

(A) 0.4 : 1
(B) 0.32 : 1
(C) 0.72 : 1
(D) 0.5 : 1

 

The Correct Answer Is:

  • (A) 0.4 : 1

 

Conclusion

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