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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


Team Careers360 25th Jan, 2024
Answer (1)
Team Careers360 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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