Buyback of shares
Ni Jain (35 Points)
04 June 2020
Is current liabilites included in debt while calculating debt equity ratio for buyback???
3 Replies
yasaswi gomes
(My grammar is 💯 good I)
(7290 Points)
Replied 04 June 2020
Current debt+non current debt must be used.
Secured + Unsecured debt must be used.
Just use Equity and Debt only
yasaswi gomes
(My grammar is 💯 good I)
(7290 Points)
Replied 04 June 2020
No. Payables are formed due to bills payable. You can find workings here:
https://accounting-simplified.com/financial/ratio-analysis/debt-to-equity.H T M L
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