Experts in  

This website has no connection with Cambridge International Examinations but serves to support students who wish to take Cambridge International Business  Examinations.

I'd love to hear from you!

Any questions, queries, comments or feedback please contact me by

     email,

use the contact form

or join the CBE social media revolution!

  • Facebook Basic Black
  • Black Instagram Icon
  • LinkedIn Social Icon

Gearing Ratio

4 (a) Refer to Appendix 1. Calculate the following: (i) gearing ratio (2 marks)
Summer 2019 P33

Non-current liabilities / (Shareholder Equity + NCL) × 100
60 x 100/70 = 85. 7% or 86%

OR

Long term liabilities / capital employed × 100
60 x 100/110 = 4.5% or 55%