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A company has total assets of $1,000,000 and total liabilities of $400,000. If the owner's equity is $600,000, calculate the debt ratio and discuss its

A company has total assets of $1,000,000 and total liabilities of $400,000. If the owner's equity is $600,000, calculate the debt ratio and discuss its implications for the company's financial leverage and risk management. Explore how variations in the debt ratio can affect a company's ability to access capital markets, manage debt obligations, and maintain financial stability.

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