The Pledged Assets to Secured Liabilities Ratio Is Calculated by Dividing

question 54

True/False

The pledged assets to secured liabilities ratio is calculated by dividing secured liabilities by pledged assets.

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Definitions:

Proportion

An element, division, or percentage judged in comparison to its complete sum.

Ratio

A mathematical relationship between two numbers showing how many times the first number contains the second.

Exchange Rate

The conversion value of one currency in relation to another.

Net Gain

The difference between the selling price of an asset and its purchase price, after adjusting for costs, taxes, and other expenses.