(Assessing leverage use) Financial data for three corporations are displayed here: a. Which firm appears to be excessively leveraged? b. Which firm appears to be employing financial leverage to the most appropriate degree? c. What explanation can you provide for the higher price/earnings ratio enjoyed by firm B as compared with firm A? a. Which firm appears to be excessively leveraged? (Select the best choice below.) OA. Firm A B. Firm B O C. Firm C X i - Data Table MEASURE FIRM A FIRM B FIRM C INDUSTRY NORM Debt ratio 40% 20% 20% 25% Times interest covered 13 times 15 times 12 times 14 times Price/earnings ratio 14 times 16 times 11 times 15 times (Click on the icon located on the top-right corner of the data table above in order to copy its contents into a spreadsheet.) Print Done