Operating ratios measure the extent to which an entrepreneur relies on debt capital rather than equity capital to finance the business.

Name: Operating ratios measure the extent to which an entrepreneur relies on debt capital rather than equity capital to finance the business.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Operating ratios are financial ratios that measure the efficiency and profitability of a business's operations. They do not directly measure the extent to which an entrepreneur relies on debt or equity financing.

Operating Ratios Measure the Extent to Which an Entrepreneur Relies