Question
Which of the following is most consistent with an increase in the ratio of debt to equity? Payment of a required principal payment on long-term
Which of the following is most consistent with an increase in the ratio of debt to equity?
Payment of a required principal payment on long-term debt.
Repurchase of a portion of the company's outstanding common stock.
Higher than expected profits due to a decrease in cost of goods sold.
Payment of most accounts receivable immediately prior to year-end using a portion of the company's cash
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Managerial Accounting
Authors: Ray Garrison, Eric Noreen and Peter Brewer
14th edition
978-007811100, 78111005, 978-0078111006
