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Business Studies

EBIT-EPS Analysis 2

Which one of ...

Question

Which one of the following is not a leverage ratio?

A

Total debt ratio

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B

Debt-Equity ratio

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C

Interest coverage ratio

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D

Quick ratio

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Solution

The correct option is D Quick ratio
Quick ratio is a liquidity ratio or short term solvency ratio. Whereas the remaining three ratios are leverage ratios.

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EBIT-EPS Analysis 2

Standard XII Business Studies

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