Question
which of the following statements is correct a. other things held constant, the more debt a firm uses, the higher its operating margin will be
which of the following statements is correct
a. other things held constant, the more debt a firm uses, the higher its operating margin will be
b. debt management ratios show the exent to which a fim's managers are attempting to magnify returns on owners capital through the use of financial leverage
c. other things held constnat, the higher a firm's total debt to total capital ratio, the higher its time-interest-earned (TIE) ratio will be
d. debt managemetn ratios show the extent to which a firm's managers are attempting to reduce risk throught the use of financial leverage. the higher the total-debt-to-total-capital ratio, the lower the risk
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started