When its just asked to cacl Financial leverage in que , then what should we calc and show?
Debt-equity ratio
Debt ratio
Int coverage ratio?
Because in RTP MAY 2020 , they have done EBIT/EBT
And this ratio neither falls in any of the above .
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EBIT/EBT is used to calculate financial leverage. (Refer to leverages chapter in Ca inter module 1)
Oh ! yes its from leverage chapter . Thank you