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Which ratio most directly indicates the extent of the company's reliance on financial leverage? Multiple Choice Debt to equity. Return on shareholders' equity. Times interest
Which ratio most directly indicates the extent of the company's reliance on financial leverage?
Multiple Choice
Debt to equity.
Return on shareholders' equity.
Times interest earned.
Current ratio.
The acidtest ratio excludes which of the following elements from the numerator?
Multiple Choice
Inventories.
Receivables.
Shortterm investments.
Cash equivalents.
For a firm with a current ratio of which of the following transactions would most likely cause the ratio to decrease?
Multiple Choice
The purchase of inventory on account.
The sale of a building for cash.
The collection of cash from customers on account.
The issuance of capital stock for cash.
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