10 Which of the following factors would cause a company’s gearing ratio to fall?1 A bonus
10 Which of the following factors would cause a company’s gearing ratio to fall?
1 A bonus issue of ordinary shares.
2 A rights issue of ordinary shares.
3 An issue of loan notes.
4 An upward revaluation of non-current assets.
A 1 and 3
B 2 and 3
C 1 and 4
D 2 and 4
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