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Tough Guy Corporation has a debt to total assets ratio of 65%. This tells the user of Tough Guys financial statements that: a.Tough Guy is

Tough Guy Corporation has a debt to total assets ratio of 65%. This tells the user of Tough Guys financial statements that:

a.Tough Guy is getting a 35% return on its assets

b.There is a risk Tough Guy cannot pay its debts as they come due

c.65% of the assets are financed by the stockholders

d.Tough Guy should issue more debt to reduce its risk

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