Financial Ratios

P.L.PRASAD (SERVICE) (94 Points)

18 December 2008  

please any body  give the clarifications about Ratios.

1. somebody is taking  interest coverage ratio ( PAT+Inter/ interest)

others {EBIT/Interest}  which is correct?

2.  Net worth= Equity  shareholders fund -  (P&L  Dr. Bal and Fictitious Assets}

am I correct? this is from  Liabilities side.  From Assets How we can caliculate?

3.  Capital Employed=  From  Liabilities side :-      Share holders funds+ Long term loans - Fictious Assets

From Assets side:-  Net fixed assets + Net working capital. if it is not correct please   correct and send back.

if anybody  have the  detail defination  about Networth and CE and LT  and shareholder funds  and all other major term please  send  it to me  also if you have the allthe formulas  please   forward to me.

laxmana.prasad @ gmail.com