A $$500,00010-$year bank loan is initiated, and the funds are placed in Lancashire Railway Co$.($Lancashire$)$s checking account.

Financial Account

Check if the Account Is Affected by the Specified Transaction

Long$-$term debt

Marketable securities

Common stock

Cash

Gross plant and equipment

Financial Ratio

Ratio$$s Behavior

Fixed asset turnoverNo change $$Debt ratioIncreases $$Gross profit margin$$Operating profit marginNo change $$Return on assetsDecreases $$Current ratioIncreases $$