GenCorp. has a total debt of $140 million and stockholders' equity of $50 million. It also has 26 million shares outstanding, with a market price of $4.00 per share. What is GenCorp's market debt-equity ratio? A) 0.67 B) 1.08 C) 2.80 D) 1.35

Corporate Fin Focused Approach
5th Edition
ISBN:9781285660516
Author:EHRHARDT
Publisher:EHRHARDT
Chapter3: Analysis Of Financial Statements
Section: Chapter Questions
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Provide correct option general accounting

GenCorp. has a total debt of $140 million and stockholders' equity of
$50 million. It also has 26 million shares outstanding, with a market
price of $4.00 per share. What is GenCorp's market debt-equity ratio?
A) 0.67
B) 1.08
C) 2.80
D) 1.35
Transcribed Image Text:GenCorp. has a total debt of $140 million and stockholders' equity of $50 million. It also has 26 million shares outstanding, with a market price of $4.00 per share. What is GenCorp's market debt-equity ratio? A) 0.67 B) 1.08 C) 2.80 D) 1.35
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