Question : The Proprietory Ratio indicates the relationship between proprietor’s funds and _________.
Option 1: Share Capital
Option 2: Total Assets
Option 3: Reserve
Option 4: Debentures
Answer (1)
27th Jan, 2024
Correct Answer: Total Assets
Solution : The proprietary ratio illustrates how the funds of the proprietor (shareholders) compare to the total assets.
Hence, the correct answer is option 2.
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