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Which one of the following statements is correct? Multiple Choice The assets - to - equity ratio can be computed as 1 plus the debt

Which one of the following statements is correct?
Multiple Choice
The assets-to-equity ratio can be computed as 1 plus the debt-to-equity ratio.
None of the options are correct.
To realize the best risk and reward profile, financial leverage should be maximized.
Long-term creditors would prefer the times-interest-earned ratio be 1.4 rather than 2.4.
If the debt-to-assets ratio is greater than 0.50, then the debt-to-equity ratio must be less than 1.0.

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