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Assertion (A): Firms ability to meet long term obligation is assessed through solvency ratio. Reason (R): Solvency ratio establishes relation between various variables like debt, share holders’ fund, asset and interest coverage. a) Both A and R are correct b) A is correct, but R is wrong c) A is wrong, but R is correct d) Both A and R are wrong |
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Answer» a) Both A and R are correct |
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