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X Ltd has a Debt Equity …

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X Ltd has a Debt Equity Ratio at 3:1 According to the management it should be maintained at 1:1.what are the two choice to do so?

    • Posted by Deepak Kumar 8 years, 2 months ago

    CBSE > Class 12 > Accountancy
    • 1 answers

    Kartik Gupta 8 years, 2 months ago

    It could be done be either paying back debts or increasing equity by issuing share capital... Till debt=equity which will make ratio equal to 1:1

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