K Geezer Co$.$ had $$150,000$ of assets, financed $$100,000$ by common shares and retained earnings plus $$50,000$ of debt which carried an interest rate of $12\%.$ The operating profit for the year was $$60,000,$ and tax was paid on the profits at the rate of $25\%.$

The debt$-$to$-$equity ratio was debt $/$ tofal usse ts