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Choose the Appropriate Alternative from the Given Options: Which of the Following is Not an Activity Ratio? - Accountancy

MCQ

Choose the appropriate alternative from the given options:
Which of the following is not an activity ratio?

Options

  • Inventory turnover ratio

  • Interest coverage ratio

  • Working capital turnover ratio

  • Trade receivables turnover ratio

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Solution

Interest Coverage ratio is a solvency Ratio and not an Activity Ratio.
Hence, the correct answer is Interest Coverage ratio.

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