Debt/Equity Ratio

This topic has 1 reply, 2 voices, and was last updated 7 years ago by John Moffat.

Viewing 2 posts - 1 through 2 (of 2 total)

Author

Posts
November 30, 2018 at 5:44 pm #486604
f6ali
Member
- Topics: 10
- Replies: 341
Hello Sir,
hope you’re doing good.

If in a question, we are given both book values and market values of debt and equity, and we have to include Debt/Equity ratio in our discussion, then should i use book values or market values?

Thanks in advance.
December 1, 2018 at 9:23 am #486640
John Moffat
Keymaster
- Topics: 57
- Replies: 54851
Usually it is made clear somewhere in the question which you are required to use. If not, then market values are better, as I explain in my free lectures.
Author

Posts

Viewing 2 posts - 1 through 2 (of 2 total)

You must be logged in to reply to this topic.