A restaurants balance sheet shows assets of $600,000, and liabilities of $200,000. What is this restaurants debt

Question:

A restaurant’s balance sheet shows assets of $600,000, and liabilities of $200,000. What is this restaurant’s debt to equity ratio?

a. 0.50 times

b. 5.0 times

c. 50.0 times

d. .05 times

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...