Consider the following information:

Compute the debt-to-equity ratio assuming that (1) debt is defined to include all liabilities, (2) debt is defined to include just interest-bearing debt, and (3) debt is defined to include just long-term, interest-bearing debt.
 

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Shortterm debt $ 17,300 Interest expense 8,200 Total current liabilitles 27.000 Long term debt 93,000 Cash 6,200 Total liabilities. 130,000 Total stockholders' equity 85,000 Income before income taxes 17.500 Shortterm debt $ 17,300 Interest expense 8,200 Total current liabilitles 27.000 Long term debt 93,000 Cash 6,200 Total liabilities. 130,000 Total stockholders' equity 85,000 Income before income taxes 17.500

Answer rating: 100% (QA)

Debttoequity is a measure of a companys financial leverage calcula... View the full answer