13)

Assume a company provided the following balance sheet:

Current assets:		Current liabilities:
Cash	$ 82,000	Accounts payable	$ 90,000
Accounts receivable	50,000	Accrued liabilities	40,000
Inventory	150,000	Total current liabilities	130,000
Total current assets	282,000	Bonds payable	110,000
Property, plant & equipment, net	380,000	Total liabilities	240,000
		Stockholders equity:
		Common stock	170,000
		Retained earnings	252,000
		Total stockholders equity	422,000
Total assets	$ 662,000	Total liabilities and stockholders equity	$ 662,000

The debt-to-equity ratio is closest to:

Multiple Choice

• 0.73.

• 1.38.

• 0.30.

• 0.57.