pdf, 329.18 KB
pdf, 329.18 KB

12 case studies, each with exam style questions to provide students with opportunities to practise applying the gearing ratio formula and interpreting the result. Questions include;

  • Calculating gearing based on case study data
  • Explaining the impact of high, low and optimal gearing

Gearing ratio definition: a measure of financial performance comparing owners equity to long term borrowing. It compared long term (non-current) liabilities to capital employed.
Gearing ratio formula: (non-current liabilities / capital employed) x 100

This pack is helpful to any Business Studies course including,
• A Level Business Studies
• IB Business Studies
• BTEC Business Studies
• GCSE Business Studies

How to use this resource;
• Print this out for your students as a quick in class assessment
• Print out for homework or revision material.
• Display it on your whiteboard to save paper
• Upload it to a VLE as part of a home learning programme.

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