Which of the following is not known as a solvency ratio?
A)Defensive-interval ratio
B)Debt-to-total assets
C)Debt-to-equity
D)Times interest earned

Question

Quizplus · Accepted Answer

The defensive-interval ratio is not known as a solvency ratio; it is a measure of a company's liquidity, indicating how many days the company can operate without needing to access non-current assets. Solvency ratios, like B) Debt-to-total assets, C) Debt-to-equity, and D) Times interest earned, measure a company's ability to meet its long-term obligations.

Which of the Following Is Not Known as a Solvency