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What is the rule of thumb for the-debt-to-total-assets ratio, and what does it mean? a) The debt-to-equity ratio is 45%, which is a satisfactory debt-to-equity

What is the “rule of thumb” for the-debt-to-total-assets ratio, and what does it mean?

a) The debt-to-equity ratio is 45%, which is a satisfactory debt-to-equity ratio.

b) The debt-to-total-assets ratio is 65%, and creditors may not provide more debt financing to the company.

c) The debt-to-total assets ratio is 50%, and creditors will provide more debt financing.

d) The debt-to-total-debt ratio is 50%, and creditors may be reluctant to provide more financing.

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