The 2017 financial statements of Blossom Company contain the following selected data (in millions). Current assets $76 Total assets 175 Current liabilities 43 Total liabilities Cash 82 7 Interest expense 5 Income taxes Net income 10 19 The debt to assets ratio is: a. 46.9%. b. 2.13%. c. 56.6%. d. 6 times.
The 2017 financial statements of Blossom Company contain the following selected data (in millions). Current assets $76 Total assets 175 Current liabilities 43 Total liabilities Cash 82 7 Interest expense 5 Income taxes Net income 10 19 The debt to assets ratio is: a. 46.9%. b. 2.13%. c. 56.6%. d. 6 times.
Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter12: Fainancial Statement Analysis
Section: Chapter Questions
Problem 23MCQ
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Debt to assets ratio on these accounting question
Transcribed Image Text:The 2017 financial statements of Blossom Company contain the
following selected data (in millions).
Current assets
$76
Total assets
175
Current liabilities 43
Total liabilities
Cash
82
7
Interest expense 5
Income taxes
Net income
10
19
The debt to assets ratio is:
a. 46.9%.
b. 2.13%.
c. 56.6%.
d. 6 times.
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