Choose the correct statements (1) The higher the gearing ratio, the lower the risk of an entity becoming insolvent. ( When an entity borrows, it takes on the commitment to pay interest charges and make principal repayment. (1H) The lower the interest cover ratio, the better it is as it indicates the entity has more operating profit to cover the interest expenses Select one: a.) only b. (l) and (iii) only c. (1) and (ii) only d. (l) only