Determine the proprietary ratio and equity ratio, Managerial Accounting

Assignment Help:

Proprietary ratio/ equity ratio

 Meaning: the ratio measures a relationship among proprietor's funds and the total assets.

Objective: the objective of computing this ratio is to find out how the proprietors have financed the assets.

Computation: this ratio is computed by dividing the proprietor's funds by total assets. The ratio can be calculated.

This ratio can also be shown in percentage which indicates the percentage of owner's capital to total capital of the firm.

 


Related Discussions:- Determine the proprietary ratio and equity ratio

Determine the fixed assets turnover ratio, Fixed assets turnover ratio ...

Fixed assets turnover ratio Meaning: this ratio establishes a relationship among net sales and fixed assets. Objective: the objective of computing this ratio is to verif

Calculate the overall profit if the offer is accepted, Question : (a) ...

Question : (a) A company manufactures and sells two products A and B. Presently, it sells 600 units of A and 400 units of B at a price of £24 and £19 respectively. The unit

Rules of game theory, RULES OF GAME THEORY 1) The number of competitors...

RULES OF GAME THEORY 1) The number of competitors is finite. 2) There is a conflict of interests between the participants. 3) Each of these participants has available to

Absorption cost-variable cost-transfer pricing methods, Absorption cost ...

Absorption cost Absorption, or full cost systems, transfer the full cost of the supplying department to the receiving department. Where a profit is to be allowed to the supplyi

Security analysis and portfolio management, Security Analysis and Portfolio...

Security Analysis and Portfolio Management Define Capital Market Line and how is it dissimilar from Security Market Line. Describe with illustrations?

Traditional and activity based costing, Explain what is meant by traditiona...

Explain what is meant by traditional costing system. Support with example.

7. Alma and Associates, Alma and Associates, a new consulting service, rece...

Alma and Associates, a new consulting service, recently received a bill for repairs on its computers totaling $2,350. Alma thinks it may have been overcharged and is trying to recr

Cost management, Calculate the charges for single and double rooms assuming...

Calculate the charges for single and double rooms assuming that the authority wishes to make a RM10, 000 profits an accommodation

State the factors of cvp, State the factors of CVP The three factors of...

State the factors of CVP The three factors of CVP analysis I e cost volume and profit are interconnected and dependent on one another . for example profit depends upon sales se

What is performance budgeting, What is performance budgeting The conce...

What is performance budgeting The concept of performance budgeting is used mainly in the government and public sector undertakings. It projects the government activities an

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd