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Question Practice

If a company's Debt to Capital Employed Ratio is decreasing, what is a likely interpretation?

Attempt the question, check the explanation, and continue with similar questions to build confidence before exams.

MCQ_SA
CBSE
Class 12
Accountancy
Accountancy Part - II
Accounting Ratios
Question Bank

If a company's Debt to Capital...

Single Answer MCQ
Q-00082870

If a company's Debt to Capital Employed Ratio is decreasing, what is a likely interpretation?

1

The company is reducing its financial risk

2

The company is increasing its debts

3

The company is increasing equity financing

4

Both A and C

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