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Which of the following best describes the purpose of the debt/equity ratio? A. It measures the company's ability to attract new financing. B. It measures
Which of the following best describes the purpose of the debt/equity ratio?
A. | It measures the company's ability to attract new financing. |
B. | It measures the company's ability to generate cash flows. |
C. | It measures the extent of a companys use of leverage. |
D. | It measures the proportion of the company's investments that are funded by bank loans. |
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