A company's total assets are $500,000 and its debt ratio is 0.4. What is the amount of the company's total liabilities? a) $200,000 b) $300,000 c) $400,000 d) $250,000

Principles of Accounting Volume 1
19th Edition
ISBN:9781947172685
Author:OpenStax
Publisher:OpenStax
Chapter12: Current Liabilities
Section: Chapter Questions
Problem 3MC: The following is selected financial data from Block Industries: How much does Block Industries have...
icon
Related questions
Question
A company's total assets are $500,000 and its
debt ratio is 0.4. What is the amount of the
company's total liabilities?
a) $200,000
b) $300,000
c) $400,000
d) $250,000
Transcribed Image Text:A company's total assets are $500,000 and its debt ratio is 0.4. What is the amount of the company's total liabilities? a) $200,000 b) $300,000 c) $400,000 d) $250,000
Expert Solution
steps

Step by step

Solved in 2 steps

Blurred answer
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Principles of Accounting Volume 1
Principles of Accounting Volume 1
Accounting
ISBN:
9781947172685
Author:
OpenStax
Publisher:
OpenStax College
Cornerstones of Financial Accounting
Cornerstones of Financial Accounting
Accounting
ISBN:
9781337690881
Author:
Jay Rich, Jeff Jones
Publisher:
Cengage Learning