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Entity H has total assets of $800,000 and total liabilities of $500,000. If Entity H repays a $125,000 long-term bank loan, what will its new
Entity H has total assets of $800,000 and total liabilities of $500,000. If Entity H repays a $125,000 long-term bank loan, what will its new debt/total assets ratio be (round up to one decimal if necessary? Hint: Think of the journal entry
a. 46.9%
b. 55.5%
c. 67%
d. 62.5%
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