Complete the following statements with one of the terms listed here.

1. The ________ measures the proportion of a company’s total liabilities to its total assets.

2. ________ is usually a long-term liability arising from the temporary timing differences for revenues and expense recognition between GAAP accounting rules and the U.S. tax code.

3. A ________ enables a company leasing an asset to own it after a period of time.

4. A high ________ indicates ease in paying interest expense.

5. ________ is a current liability and represents the amount of income taxes a company must pay to the federal government based on tax reporting rules.

6. A(n) ________ covering twelve months or less is the only type of lease that is not required to be included on the balance sheet.

7. A company’s average total assets per dollar of average common stockholders’ equity is its ________.

8. A contractual promise to make transactions in the future that create financial obligations for a company is a ________.

9. The tenant in a lease arrangement is also known as the ________.

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Leverage ratio Operating lease Commitment Finance lease Debt ratio Income tax payable Deferred income taxes payable Lessee Times-interest-earned ratio