Question
The liabilities and owners' equity for Campbell Industries is found here: LOADING... . a.What percentage of the firm's assets does the firm finance using debt
The liabilities and owners' equity for Campbell Industries is found here: LOADING... . 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 $1.3 million and finance it entirely with long-term debt, what would be the firm's new debt ratio?
Accounts payable $486,000
Notes payable $243,000
Current liabilities $729,000
Long-term debt $1,275,000
Common equity $4,957,000
Total liabilities and equity $6,961,000
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Financial management theory and practice
Authors: Eugene F. Brigham and Michael C. Ehrhardt
12th Edition
978-0030243998, 30243998, 324422695, 978-0324422696
