eu. ACCIG 211 Exam 3 1 Saved Help Save Determine the effect of the following scenario on each of the following ratios Debt to Equity Ratio . Profit Margin Ratio Dividend Yield Ratio Deal ONLY with the facts provided in the scenario, and determine the direct effects of the scenario ONLY in the current period. Assume no effect on the market price of stock. Assume the Current Ratio prior to any scenario was 2.1 Debt to Equity Ratio - (Total Liabilities) / (Total Stockholders' Equity) Profit Margin Ratio = (Net Income) / (Net Sales) Dividend Yield Ratio = (Dividends per Share) / (Market Price per Share) Smoky Pig BBQ declared dividends to common shareholders in the current period. It has no Preferred Shareholders. The dividends will be paid next period. Multiple Choice The Debt to Equity Ratio will decrease, no effect on the Profit Margin Ratio, and the Dividend Yield Ratio will decrease The Debt to Equity Ratio will increase, no effect on the Profit Margin Ratio and the Dividend Yield Ratio wincrease The Debt to Equity Ratio will decrease no effect on the Proht Margin Ratio and the Dividend Yiee now increase (Ulvenus per die) Market Price per Share) ky Pig BBQ declared dividends to common shareholders in the current period. It erred Shareholders. The dividends will be paid next period. Multiple Choice The Debt to Equity Ratio will decrease, no effect on the Profit Margin Ratio, and the Dividend Yield Ratio will decrease The Debt to Equity Ratio will increase, no effect on the Profit Margin Ratio, and the Dividend Yield Ratio will increase The Debt to Equity Ratio will decrease, no effect on the Profit Margin Ratio, and the Dividend Yield Ratio will increase The Debt to Equity Ratio will increase, no effect on the Profit Margin Ratio, and the Dividend Yield Ratio will decrease