The profit margin ratio measures: Select one: a. the difference between the purchase price and the selling price of inventory. b. the proportion of each sales dollar that represents profit. c. the rate of return on total assets. d. return to shareholders. Using borrowed funds in an attempt to earn a return greater than the cost of borrowing is referred to as: Select one: a. equity funding b. capital budgeting c. overdraft financing. d. gearing or leverage. Amazing Lights Ltd has the following amounts on its statement of financial position at year-end. Current assets $ 300 000 Long-term assets 900 000 Current liabilities 250 000 Long-term liabilities 450 000 Share capital 400 000 Retained earnings 100 000 The debt ratio at year-end is: Select one: a. 50.00% b. 58.33% c. 41.67% d. 37.50%