A. | 20% |
B. | 30% |
C. | 40% |
D. | 50% |
Answer : A Explanation : selvi said: (2:34pm on Monday 6th June 2016)
total assets/total liabilities=solvency ratiowhich means 1000000/500000=20%
DURGA PRASAD MOHAPATRA said: (6:36pm on Thursday 29th June 2017)
Solvency ration mean whether Cash flow of the company can be sufficient to meet the liabilities to b paid off(i.e long term
tulsi ravada said: (12:19pm on Monday 17th July 2017)
Solvency ratio = total liabilities / total assets so 500000/1000000= 50%
Surajit Basu said: (7:47pm on Wednesday 18th April 2018)
why 1000000/500000x100=20% please describe..and what is the correct ans.Solvency ratio is one of the various ratios used to measure the ability of a company to meet its long term debts. Moreover, the solvency ratio quantifies the size of a company’s after tax income, not counting non-cash depreciation expenses, as contrasted to the total debt obligations of the firm. Also, it provides an assessment of the likelihood of a company to continue congregating its debt obligations.FormulaThe formula used for computing the solvency ratio is:Solvency ratio = (After Tax Net Profit Depreciation) / Total liabilities.
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Option: A Explanation : Explanation will come here. Explanation will come here. Explanation will come here. Explanation will come here. Explanation will come here. |