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Which of the following ratios is used to evaluate a company's solvency?

Practice Questions

1 question
Q1
Which of the following ratios is used to evaluate a company's solvency?
  1. Current Ratio
  2. Quick Ratio
  3. Debt to Equity Ratio
  4. Return on Assets

Questions & Step-by-step Solutions

1 item
Q
Q: Which of the following ratios is used to evaluate a company's solvency?
Solution: The Debt to Equity Ratio is used to evaluate a company's solvency by comparing its total liabilities to its shareholder equity.
Steps: 0

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