Question
A firm has a long-term debt to equity ratio of .4. Shareholders' equity is $1 million. Current assets are $200,000 and the current ratio is
A firm has a long-term debt to equity ratio of .4. Shareholders' equity is $1 million. Current assets are $200,000 and the current ratio is 2. The only current liabilities are notes payable. What is the total debt ratio? (Round your answer to 2 decimal places.)
Total debt ratio =?
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Fundamental Managerial Accounting Concepts
Authors: Edmonds, Tsay, olds
6th Edition
71220720, 78110890, 9780071220729, 978-0078110894
