What will be impact of ‘purchase of a fixed asset on a credit of 3 months’ on a debt equity ratio of 1: 1? Post category:Accountancy Reading time:1 mins read SOLUTION There will be no effect on debt-equity ratio because the long-term loans as well as the Shareholder’s Funds remain unchanged. Please Share This Share this content Opens in a new window X Opens in a new window Facebook Opens in a new window Pinterest Opens in a new window LinkedIn Opens in a new window Viber Opens in a new window VK Opens in a new window Reddit Opens in a new window Tumblr Opens in a new window Viadeo Opens in a new window WhatsApp Read more articles Previous PostWhat will be the impact of ‘issuing Rs. 5,00,000 equity shares to vendors of machinery’ on the Debt-Equity Ratio of 2: 1? (C.B.S.E. 2020. Mumbai, Chennai) Next PostThe Debt- Equitv Ratio of A’ Ltd. is 1: 2. What is the effect of conversion of debentures into preference shares on this ratio? You Might Also Like What do you mean by Redeemable Preference Shares? September 28, 2022 What entry is passed when an asset is given to a Creditor in full settlement of his dues? September 27, 2022 A and B are partners in a firm with capital of Rs. 60,000 and Rs. 1,20,000 respectively. They decide to admit C into the partnership for 1/4th share in the future profits. C is to bring in a sum of Rs. 70,000 as his capital. Calculate amount of goodwill. August 1, 2022 Leave a Reply Cancel replyYou must be logged in to post a comment.
What entry is passed when an asset is given to a Creditor in full settlement of his dues? September 27, 2022
A and B are partners in a firm with capital of Rs. 60,000 and Rs. 1,20,000 respectively. They decide to admit C into the partnership for 1/4th share in the future profits. C is to bring in a sum of Rs. 70,000 as his capital. Calculate amount of goodwill. August 1, 2022