Question
Balsam Company has a debt-to-assets ratio of 0.60. Which of the following, if it occurred on the last day of the accounting period, would increase
Balsam Company has a debt-to-assets ratio of 0.60. Which of the following, if it occurred on the last day of the accounting period, would increase the company's debt-to-assets ratio?
A) Paying off some accounts payable.
B) Lending money to employees on a promissory note.
C) Issuing shares.
D) Borrowing with a short-term promissory note.
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Principles Of Auditing
Authors: O. Ray Whittington, Kurt Pany, Walter B. Meigs
12th Edition
