1.

Calculate Debt-equity ratio.

Answer»

Deb-equity ratio = (Total long term debts)/(Shareholders fund)

Total long term deb = Debentures + Long term ratio

 = 2,00,000 + 1,00,000 

= Rs. 3,00,000 

Share holders funds = Equity share capital + General Reserve 

= 4,00,000 + 3,00,000 

= Rs. 7,00,000 

∴ Deb equity ratio = 3,00,000/ 7,00,000

= 0.43 : 1



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