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What is Debt/Equity Ration (a) Debt/equity (2)Capital/Asset

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Question ajoutée par Muhammad Umair Arain , General Accountant , Heart Beat Medical Center & One Day Surgery LLC
Date de publication: 2015/05/05
Muhammad Ramzan Tufail  ACCA
par Muhammad Ramzan Tufail ACCA , Assistant Finance Manager , Eltizam Asset Management Group

(A) is the Correct Ans.

 

Debt / Equity

Abdul Majid Khatri
par Abdul Majid Khatri , A Qualified Chartered Accountant , Honeycomb Logistics Pvt. Ltd.

Debt Equity ratio = Debt/ Equity  

Amit Nirmal
par Amit Nirmal , Finance Controller , Al Ashram Contracting

Debt Equity ration is used to see the ration of total liabilities a firm is having compared to the equities of share holders in the firm. if the ration is less than one, it means most of the assets are financed by share holders, but if it is more than one, it means firm has financed the assets through external debts.

Saidul Alam
par Saidul Alam , Accountant , Akhtar Al Balushi Trad. & Cont. L.L.C

correct answer is A. Dept/ Equity.

mohamed Hakim CMA CPA Candidate
par mohamed Hakim CMA CPA Candidate , Accounting Manager , Andersen saudi arabia

Debt/Equity

answer (a)

 

hassan madkour
par hassan madkour , CEO , C.E.C

in order to see if the establishment capable of trust we use this ratio to find how much the debtors have to the equity while the othe capital/ asset represent how much equity used in buying assets

 

MOHAMMED SADIQUE AKHTAR
par MOHAMMED SADIQUE AKHTAR , ACCOUNTS SUPERVISOR , Perfect Steel Fzco

Both the equation are correct. we can calculate debt equity ratio by both the ways. (which equation to follow that is depending on the organisation's own policy.) both the ratios are similar one is called as Debt equity and other one is Debt ratio.

Mirza Gul Rehman Baig
par Mirza Gul Rehman Baig , Accountant , Fazal Cloth Mills Limited.

Debt/Equity

(A) is the Correct Ans.

 

 

Mohamed Ramadan
par Mohamed Ramadan , chief financial officer , harrowandcompany

answer no a (Debt / Equity

Is the perecentage of companies debt to finance its operations  compared to its equity or shareholders funds

 

husnain tayyab
par husnain tayyab , accountant , Meezan bank ltd

its means one debt paid against shareholder equity.it is equal to long term debt divided by shareholder equity.