CAIE A-Level Business Formula reference Gearing ratio
Practise using the gearing formula with table data and interpreting the percentage as a measure of dependence on debt finance.
- Syllabus
- 2026–2028
- Course
- Business 9609
- Level
- A2
Exam points
- calculate gearing as non-current liabilities divided by capital employed times 100
- interpret a gearing percentage to judge reliance on long-term borrowed capital
Formula reference—Gearing ratio question 1
Refer to Table 1.2. Calculate the gearing ratio for 2023.
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