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28. XYZ Ltd. has a Debt Equity Ratio of 1.5 as compared to 1.3 Industry average. It means that the firm has: (a) Higher Liquidity,

28. XYZ Ltd. has a Debt Equity Ratio of 1.5 as compared to 1.3 Industry average. It means that the firm has:

(a) Higher Liquidity, (b)Higher Financial Risk,(c)Higher Profitability,(d)Higher Capital Employed.

29. Ratio Analysis can be used to study liquidity, turnover, profitability, etc. of a firm. What does Debt-Equity Ratio help to study?

(a)Solvency,(b)Liquidity,(c)Profitability,(d) Turnover,

30. In Inventory Turnover calculation, what is taken in the numerator?

(a) Sales,(b)Cost of Goods Sold,(c)Opening Stock,(d) Closing Stock.

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