41 :- From the following information, calculate Debt to Equity Ratio; Total Debts Rs 6,00,000; Current Liabilities Rs 2,00,000 and Capital Employed Rs 6,00,000.
Solution :-
Total Debts = Non – Current Liabilities + Current Liabilities
6,00,000 = Non – Current Liabilities + 2,00,000
Non – Current Liabilities (Debt) = Rs 4,00,000
Capital Employed = Equity + Non – current Liabilities
6,00,000 = Equity + 4,00,000
Equity = Rs 2,00,000
Debt to Equity Ratio = Debt/Equity
= 4,00,000/2,00,000
= 2 : 1