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Balance sheet data for Asteroid Oil as of 12/31/26 is as follows for Lease W: Leasehold costs $675,000 Less: Accumulated DD&A ($240,000) Net leasehold costs

Balance sheet data for Asteroid Oil as of 12/31/26 is as follows for Lease W:



Leasehold costs

$675,000

Less: Accumulated DD&A

($240,000)

Net leasehold costs

$435,000

Wells and related E&F—IDC

$3,300,000

Less: Accumulated DD&A—IDC

($1,400,000)

Net wells and related E&F—IDC

$1,900,000

Wells and related E&F—L&WE

$1,850,000

Less: Accumulated DD&A—L&WE

($270,000)

Net wells and related E&F—L&WE

$1,580,000

Asteroid’s activities during 2027 related to Lease W were as follows:



Exploratory dry hole drilled

$825,000

Development dry hole drilled

$890,000

Tanks, separators, etc., installed

$340,000

Production

330,000 bbl

Proved reserves, 12/31/27

3,300,000 bbl

Proved developed reserves, 12/31/27

3,000,000 bbl

Requirement:
 Calculate the Debt to Equity Ratio for 2027.

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