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(Related to Checkpoint 15.1) (Calculating debt ratio) Webb Solutions, Inc. has the follawing financial structure: a. Compute Webb's debt ratio and interess-bearing debt ratio. b.
(Related to Checkpoint 15.1) (Calculating debt ratio) Webb Solutions, Inc. has the follawing financial structure: a. Compute Webb's debt ratio and interess-bearing debt ratio. b. If the market value of Webb's equity is \$2,004,000 and the value of the firm's debt is equal to its book value, assurning excess cash is zero, what is the debt-to-enterprise-value ratio for Weab? c. If you were a bank loar officer who was analyzing whether or not to losan more money to Webb, which of the ratios calculated in parts a and b is most relevart to your analysis? a. Webb's debt ratio is \%. (Raund to one decimal place.) Webb's interest-besring debt ratio is \%. (Round to one decirnal place.) b. Webb's debt-to-enterprise-value ratio is \%. (Raund to cres decimal place-) c. If you were a bank loar officer who was analyzing whether or not to loan mare money to Webb, which of the ratios calculated in parts a and b is most relevant to your analysis? (Select the best choice below.) A. The most relevart of the three debt-related ratias we have calculated is the second, the interest-bearing debt ratic. B. The mast relevart of the three debt-related ratias we have calculated is the third, the debt-to-enterprise-value ratio. C. None of these three ratios can messure Webb's abifity to repay the loan. D. The most relevart of the three debt-related ratios we have calculated is the first, the debt ratio. Data table
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