Question: 5 . When a firm's long - term debt - equity ratio is . 9 8 the firm: a ) has as much in long

5. When a firm's long-term debt-equity ratio is .98 the firm:
a) has as much in long-term liabilities as in equity
b) has less long-term debt than equity
c) is nearing insolvency
d) has too much long-term debt in relation to leases

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