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H 100 Exercise 10-15 Applying debt-to-equity ratio LO A3 Montclair Company is considering a project that will require a $500,000 loan. It presently has total

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H 100 Exercise 10-15 Applying debt-to-equity ratio LO A3 Montclair Company is considering a project that will require a $500,000 loan. It presently has total liabilities of $220,000 and total assets of $620,000. 1. Compute Montclair's (a current debt-to equity ratio and (c) the debt-to-equity ratio assuming it borrows $500,000 to fund the project. 2. If Montclair borrows the funds, does its financing structure become more or less risky? 4:03 Choose Numerator: Choose Denominator: Debt-to-Equity Ratio If Montclair borrows the funds, does its financing structure become more or less risky?

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