The liabilities and owners' equity for Campbell Industries is found here:

a. What percentage of the firm's assets does the firm finance using debt (liabilities)?

b. If Campbell were to purchase a new warehouse for $1.2 million and finance it entirely with long-term debt, what would be the firm's new debt ratio?

\begin{tabular}{lr} \hline Accounts payable & $471,000 \\ Notes payable & $243,000 \\ \cline { 2 } Current liabilities & $714,000 \\ \cline { 2 } Long-term debt & $1,169,000 \\ Common equity & $5,049,000 \\ \cline { 2 } Total liabilities and equity & $6,932,000 \\ \hline in order to copy its contents into a spreadsheet.) \end{tabular}