4 5 oints eBook Print References Last year, Spruce Company reported the following: BALANCE SHEET Total Assets Total Liabilities Total Shareholders' Equity $ 1,070,000 770,000 $ 300,000 This year, Spruce is considering whether to issue more debt to fund a $1,135,000 project or to issue additional shares of common stock. Both options will bring in exactly $1,135,000. Spruce's current debt contracts contain a debt covenant that requires it to maintain a debt-to-equity ratio of 2.67 or less. Required: 1. Calculate Spruce's current debt-to-equity ratio. 2. Calculate Spruce's debt-to-equity ratio assuming it funds the project using additional debt. 3. Calculate Spruce's debt-to-equity ratio assuming it funds the project by issuing common stock. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Calculate Spruce's current debt-to-equity ratio. Note: Round your answer to 2 decimal places. Current debt-to-equity ratio 2.67

Last year, Spruce Company reported the following: This year, Spruce is considering whether to issue more debt to fund a $1,135,000 project or to issue additional shares of common stock. Both options will bring in exactly $1,135,000. Spruce's current debt contracts contain a debt covenant that requires it to maintain a debt-to-equity ratio of 2.67 or less. Required: 1. Colculate Spruce's current debt-to-equity ratio. 2. Calculate Spruce's debt-to-equity ratio assuming it funds the project using additional debt 3. Calculate Spruce's debt-to-equity ratio assuming it funds the project by issuing common stock. Complete this question by entering your answers in the tabs below. Calculate Spruce's current debt-to-equity ratio. Note: Round your answer to 2 decimal places