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You are considering a stock investment in one of two firms ( LotsofDebt , Incorporated and LotsofEquity, Incorporated ) , both of which operate in

You are considering a stock investment in one of two firms (LotsofDebt, Incorporated and LotsofEquity, Incorporated), both of which operate in the same Industry. LotsofDebt, Incorporated finances its $37.50 million in assets with $33.50 million in debt and $4.00 million in equity. LotsofEquity, Incorporated finances its $37.50 million in assets with $4.00 million in debt and $33.50 miltion in equity
Calculate the debt ratio.
Calculate the equity multipller.
Calculate the debt-to-equity.
Complete this question by entering your answers in the tabs below.
Debt ratio
Equity
Debt to equity
Calculate the debt ratio.
Moter Round your answers to 2 decimal places.
\table[[,Debt ratio],[Lersercect incorcorated,5],[,es]]
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