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Maggie's Farm Co. reported the following for the past two years: 20212022Total Assets (year end) $ 120,000 $ 80,000Total Liabilities (year end) $ 90,000 $
Maggie's Farm Co. reported the following for the past two years:
20212022Total Assets (year end) $ 120,000 $ 80,000Total Liabilities (year end) $ 90,000 $ 70,000Total Stockholders' Equity (year end) $ 30,000 $ 10,000 Revenues (for the year) $ 50,000 $ 40,000Net Income (for the year) $ 2,500 $ 2,500
Maggie's Leverage ratio (LEV) equals:
a. 5
b. 4.0
c. 1.25
d. 1.875
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