Match the LIST-I with LIST-II | LIST-I (Factor affecting Fixed capital requirements) | LIST-II (Explanation) | |---|---| | A. Choice of Technique | I. Organizations that use assets which are prone to obsolescence require higher fixed capital. | | B. Level of Collaboration | II. A developed financial market may provide leasing facilities as an alternative to outright purchase. | | C. Financing Alternatives | III. Certain business organisations share each other's facilities. | | D. Technology Upgradation | IV. A capital-intensive organisation requires higher investment in plant. | Choose the correct answer from the options given below:

Question

Option 1: A-IV, B-III, C-II, D-I

Option 2: A-I, B-II, C-III, D-IV

Option 3: A-I, B-II, C-IV, D-III

Option 4: A-III, B-IV, C-I, D-II

AfterBoards · Accepted Answer

The answer is 'A-IV, B-III, C-II, D-I'. View full solution:

List-I	List-II
Concept	Equation
(A) Financial Leverage	(I) (Profit after tax+depreciation+interest+non cash expenses)/ (pref dividend+interest+repayment obligation)
(B) Net Working Capital	(II) Debt/Equity
(C) Interest Coverage Ratio	(III) Current Assets - Current Liabilities
(D) Debt service coverage ratio	(IV) EBIT/Interest

CUET Business Studies 2026 31st May Shift 1 PYQs

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