Debt to equity ratio shows long term financial solvency of the enterprise. If debt of equity ratio of PDO is 2.33 and Occidental Oman is 3.22, then it means______________. a. None of the options b. Occidental Oman is in danger as they have more debts then PDO c. PDO is in risky position as they have more debts than occidental d. There is no difference between the two companies in terms of debt
Debt to equity ratio shows long term financial solvency of the enterprise. If debt of equity ratio of PDO is 2.33 and Occidental Oman is 3.22, then it means______________. a. None of the options b. Occidental Oman is in danger as they have more debts then PDO c. PDO is in risky position as they have more debts than occidental d. There is no difference between the two companies in terms of debt
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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42. Debt to equity ratio shows long term financial solvency of the enterprise. If debt of equity ratio of PDO is 2.33 and Occidental Oman is 3.22, then it means______________.
a.
None of the options
b.
Occidental Oman is in danger as they have more debts then PDO
c.
PDO is in risky position as they have more debts than occidental
d.
There is no difference between the two companies in terms of debt
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