Question: Consider this simplified balance sheet for Geomorph Trading: Current assets $ 290 Current liabilities $ 230 Long-term assets 660 Long-term debt 200 Other liabilities 110

Consider this simplified balance sheet for Geomorph Trading:

Current assets $ 290 Current liabilities $ 230
Long-term assets 660 Long-term debt 200
Other liabilities 110
Equity 410
$ 950 $ 950

a. What is the companys debt-equity ratio? (Round your answer to 2 decimal places.)

b. What is the ratio of total long-term debt to total long-term capital? (Round your answer to 2 decimal places.)

c. What is its net working capital?

d. What is its current ratio? (Round your answer to 2 decimal places.)

a. Debt-equity ratio
b. Long-term debt-to-capital ratio
c. Net working capital
d. Current ratio

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!