Donnelly Company had a Debt to Equity ratio of 0 70 The company then took on many more shareholders through a large stock issuance The effect of this issuance is The ratio decreased The ratio increased The ratio remained the same There is insufficient information to predict the effect

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Donnelly Company had a Debt-to-Equity ratio of 0.70. The company then took on many more shareholders through a large stock issuance. The effect of this

Donnelly Company had a Debt-to-Equity ratio of 0.70. The company then took on many more shareholders through a large stock issuance. The effect of this issuance is?

		The ratio decreased
		The ratio increased.
		The ratio remained the same.
		There is insufficient information to predict the effect.

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