8. Measuring leverage (S29.4) A firm has a long-term debtequity ratio of 0.4. Shareholders equity is $1
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8. Measuring leverage (S29.4) A firm has a long-term debt–equity ratio of 0.4. Shareholders’
equity is $1 million. Current assets are $200,000, and total assets are $1.5 million. If the current ratio is 2.0, what is the ratio of debt to total long-term capital?
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Related Book For 
Principles Of Corporate Finance
ISBN: 9781264080946
14th Edition
Authors: Richard Brealey, Stewart Myers, Franklin Allen, Alex Edmans
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