Question
Which ratio provides critical information related to
long term operation of a firm?Solution
Solvency ratio is one of the various ratios used to measure the ability of a company to meet its long term debts. Debt-Equity Ratio, Debt to Capital Employed Ratio, Proprietary Ratio, Total Assets to Debt Ratio and Interest Coverage Ratio are solvency ratio.
The government securities market in India is regulated by _______
A company invests ₹60,000 in a project that generates ₹15,000 as net annual cash inflow. What is the payback period of the project?
Plant purchased for ₹6,00,000. Depreciation for year = ₹1,00,000. Closing balance of Plant = ₹10,00,000. Opening balance was ₹5,00,000. Calculat...
A company purchased machinery for ₹50,00,000 on 1st April 2020. Installation cost was ₹5,00,000. Residual value ₹3,00,000, useful life 5 years. On...
EOQ (Economic Order Quantity) is a model used in inventory control to determine:
What is the maximum limit for insurance coverage provided by the Deposit Insurance and Credit Guarantee Corporation (DICGC) in India?
The audit that is made compulsory under statute is called _________.
Net Working Capital (NWC) is defined as:
ABC Ltd., a manufacturing company, undertook a series of transactions during the financial year 2024–25. It purchased a new plant worth ₹1,000 lakh ...
A company begins construction of a qualifying asset funded partly from general borrowings. Work was suspended for 5 months due to a strike. Should borro...
