Commerce Short Question | Gkseries

Question

Which of the following statements is true ?

A Rate of return on capital is Acid Test Ratio
B Equity capital to fixed interest- bearing securities is a turnover ratio
C Capital gearing is the ratio of equity capital to fixed-interest bearing securities.
D Input and output ratio is a measure of profitability

Answer & Explanation

Answer:Capital gearing is the ratio of equity capital to fixed-interest bearing securities.