Question : Which of the following statements is false?

Option 1: Long Term Debts = Debentures + Mortgage Loan

Option 2: Shareholder’s Funds = Equity Share Capital + Pref. Share Capital + Capital Reserve + P&L Balance+ long-term debt 

Option 3: Total Assets = Non-Current Assets + Current Assets

Option 4: None of the above

Question : Which is the debt-to-equity ratio?

Option 1: Long Term Debts/Shareholder’s Funds 

Option 2: Short Term Debts/Equity Capital

Option 3: Shareholder’s Funds/Total Assets

Option 4: Total Assets/Long-term Debts

Question : Which of the following statements is incorrect?

Option 1: Working Capital = Current Assets - Current Liabilities

Option 2: Current Liabilities = Total Assets - Non-Current Liabilities - Shareholder's fund

Option 3: Working Capital = Equity Share Capital + Reserves & Surplus - Long Term Loan - Non-Current Assets

Option 4: None of the above

Question : Which of the following statements is incorrect?

Option 1: Working Capital = Current Assets - Current Liabilities

Option 2: Current Liabilities = Total Assets - Non-Current Liabilities - Shareholder's fund

Option 3: Working Capital = Equity Share Capital + Reserves & Surplus - Long Term Loan - Non-Current Assets

Option 4: None of the above

Question : Which of the following is the proprietary ratio?

Option 1: Shareholder’s Funds/Fixed Assets

Option 2: Shareholder’s Funds/Total Assets

Option 3: Long-term Debts/Shareholder’s Funds

Option 4: Total Assets/Shareholder’s Funds