Question : The formula for ascertaining Total Assets to Debt Ratio is _______.
Option 1: Total Assets/Long term Loans
Option 2: Tangible Assets/Long term Loans
Option 3: Current Assets/Total Liabilities
Option 4: Total Assets/Total Liabilities
Correct Answer: Total Assets/Long term Loans
Solution :
The Formula for Total Asset to Debt is -
Total Assets/Long term Loans.
Hence, the correct answer is option 1