Ernst Company's balance sheet shows total liabilities of $27,600,100, total stockholders' equity of $12,355,000, and total assets

Question:

Ernst Company's shows total liabilities of $27,600,100, total stockholders' equity of $12,355,000, and total assets of $39,955,100.
Required:
Round answers to two decimal places.
1. Calculate the debt ratio.
2. Calculate the debt-to-equity ratio.
Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...