A company has total liabilities of $590,000 and total equity of $472,000. What is the debt-to-equity ratio? 1. 1.12 2. 0.87 3. 1.25 4. 1.40
A company has total liabilities of $590,000 and total equity of $472,000. What is the debt-to-equity ratio? 1. 1.12 2. 0.87 3. 1.25 4. 1.40
Chapter5: Evaluating Operating And Financial Performance
Section5.4: Leverage Ratios
Problem 1CC
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Please provide the correct answer to this financial accounting problem using accurate calculations.

Transcribed Image Text:A company has total liabilities of
$590,000 and total equity of $472,000.
What is the debt-to-equity ratio?
1. 1.12
2. 0.87
3. 1.25
4. 1.40
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