Question : ------------analysis is done by the firm to know its borrowing capacity.
Option 1: Securities Analysis
Option 2: Credit Analysis
Option 3: Debt Analysis
Option 4: None of the above
Correct Answer: Debt Analysis
Solution : Answer = Debt Analysis
Debt analysis: Assists in estimating the amount of debt that a borrower can take on without running the danger of default or financial hardship. It entails determining if a borrower is capable of taking on debt by analysing their income, expenses, and other pertinent variables in addition to their existing financial situation.
Hence, the correct option is 3.