Question

Proprietary ratio is ______.

विकल्प

• Long term Debts/Shareholder’s Funds

• Total Assets/Shareholder’s Funds

• Shareholder’s Funds/Total Assets

• Shareholder’s Funds/Non-Current Assets

Answer 1

Proprietary ratio is shareholder’s funds/total assets.

Explanation:

Proprietary Ratio is calculated as the ratio of Shareholders’ Funds to Total Assets. It shows the proportion of total assets financed by the proprietors’ funds, indicating the financial strength and long-term solvency of the business.