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You are considering a stock investment in one of two firms (LotsofDebt, Inc. and LotsofEquity, Inc), both of which operate in the same industry LotsofDebt,
You are considering a stock investment in one of two firms (LotsofDebt, Inc. and LotsofEquity, Inc), both of which operate in the same industry LotsofDebt, Inc. finances its $30 million in assets with $29 million in debt and $1 million in equity LotsofEquity, Inc. finances its 30 million in assets with $1 million in debt and $29 million in equity Calculate the debt ratio. (Round your answers to 2 decimal places.) Debt ratico LotsofDebt, Inc LotsofEquity. Inc. Calculate the equity multiplier (Round your answers to 2 decimal places.) Equity multiplier times Inc. LotsofEquity, Inc times
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