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Use the information in the table to determine the probability of default for a borrower with the following characteristics: Equity to asset ratio =50 Capital

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Use the information in the table to determine the probability of default for a borrower with the following characteristics: Equity to asset ratio =50 Capital debt repayment capacity =75 Retum on assets =3% Current ratio =1.10 Management = average a 3.20% b. 0.90% c. 7.76% d. 0.24%

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