Accountancy, asked by Adityamishra718, 10 months ago

Name four ratios to test solvency of the firm in management accounting

Answers

Answered by commerceshraddha

0

Answer:

name of ratios are

Explanation:

1-total asset to debt ratio-

total asset/debt

2-proprietory ratio-

proprietor fund/total asset

3-debt to equity ratio-

debt/equity

4- interest coverage ratio-

net profit before tax/interest on long term liability

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