Q. 46. Debt to Equity Ratio of a company is 0.5 : 1. Which of the following would increase, decrease or not change it:

(i) Issue of Equity Shares;

(ii) Cash received from debtors;

(iii) Redemption of debentures;

(iv) Purchased goods on credit?

[Ans.: (i) Decrease; (ii) No change; (iii) No change; (iv) No change.]

 

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