Answered: Calculate the debt-to-equity ratio.…

Calculate the debt-to-equity ratio. Ernst Company's balance sheet shows total liabilities of $32,500,000, total stockholders' equity of $8,125,000, and total assets of $40,625,000.

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter15: Financial Statement Analysis

Section: Chapter Questions

Problem 17BEA: Ernst Companys balance sheet shows total liabilities of 32,500,000, total stockholders equity of...

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Calculate the debt-to-equity ratio.
Ernst Company's balance sheet shows total liabilities of $32,500,000, total stockholders' equity of
$8,125,000, and total assets of $40,625,000.

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