Montclair Company is considering a project that will require a $570,000 loan. It presently has total liabilities of $185,000 and total assets of $655,000. 1. Compute Montclairs (a) current debt-to-equity ratio and (b) the debt-to-equity ratio assuming it borrows $570,000 to fund the project. 2. If Montclair borrows the funds, does its financing structure become more or less risky?

Choose Numerator: Choose Denominator: Debt-to-Equity Ratio 1. (a) 1. (b) 2. If Montclair borrows the funds, does its financing structure become more or less risky