71 :- From the following information, calculate Debt to Capital Employed Ratio
Solution :-
Long term Debt = Long term Borrowings (9% Debentures)
= Rs 12,00,000
Capital Employed = Shareholder’s Funds + Long term Borrowings (9% Debentures)
= 24,00,000 + 12,00,000
= Rs 36,00,000
Debt to Capital Employed Ratio = Long term Debt/Capital Employed
= 12,00,000/36,00,000
= 0.33 : 1