Hi guys.For the gearingratio (debt capital : equity capital) i have that the long term loan is 200.000€ so that means that is debt.Then I have to calculate the equity capital?How do I do it?The info i have: retained earnings-150.000€ issued share capital 450.000€ and authorised share cap. 900.000€ which ones do I add together to find the equity capital???Do I add the issued share capital and retained earnings?What about authorised share capital?Thank u.
debt capital is long term loan plus preference shares.
Equity capital is your retained earning plus your issues share capital. :)
make sure when dividing your put your equity capital under your debt capital and put it as something :1 like a ratio or you wont get your points :)
Authorized share capital is just there to trick ya!!
capital employed is LTL plus Ordinary Share Capital plus Retained Earnings :) You're dead on! you go girl!! :)