Luther Industries currently has the following balance sheet (in thousands of dollars): Luther is about to add

Question:

Luther Industries currently has the following balance sheet (in thousands of dollars):

Luther is about to add a new fleet of delivery trucks. The price of the fleet is $1.5 million. If Luther acquires the new fleet of delivery trucks using a capital lease, Luther's Debt to Equity ratio will be closest to:

0.66

2.0

1.5

0.80

Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...