74 :- Calculate Debt to Capital Employed Ratio from the following information :
Solution :-
Long – term Debts = Long term Borrowings + Long term Provisions
= 20,00,000 + 17,50,000
= Rs 37,50,000
Capital Employed = Shareholder’s Funds + Long term Borrowings + Long term Provisions
= 50,00,000 + 20,00,000 + 17,50,000
= Rs 87,50,000
Debt to Capital Employed Ratio = Long term Debts/Capital Employed
= 37,50,000/87,50,000
= 0.4285 : 1
= 0.43 : 1