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Pick the odd one out : (1) Debt to Equity Ratio (2) Proprietary Ratio (3) Interest Coverage Ratio (4) Inventory Turnover ratio -

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Question

Pick the odd one out:

Options

  • Debt to Equity Ratio

  • Proprietary Ratio 

  • Interest Coverage Ratio 

  • Inventory Turnover ratio

MCQ

Solution

Inventory Turnover ratio

Explanation:

The only ratio that is a turnover ratio is the inventory turnover ratio; the others are all solvency ratios.

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Types of Ratios
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