Single choice 10) Based on the following statement of financial position calculate financial gearing. CU'000 CU'000 Non-current assets Tangible non-current assets 3,000 Current assets Inventory 1,000 Trade receivables 550 Cash 1,730 Current liabilities Trade payables (600) Long term liabilities (1,500) 2,630 180 Share capital Retained earnings 500 2,130 2,630 The financial gearing is 0.57 The financial gearing is 0.7 The financial gearing is 0.8 The financial gearing is 3.0 Single choice 11) Current assets less current liabilities is often referred to as: Equity Cash resources Working capital Net assets