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Which of the following statements about the debt ratio is false? The ratio is computed by dividing total liabilities by total assets. It is a

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Which of the following statements about the debt ratio is false? The ratio is computed by dividing total liabilities by total assets. It is a measure of the risk associated with liabilities. A relatively low ratio signifies lower risk. Higher financial leverage means greater risk. The ratio is computed by dividing total equity by total liabilities

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