Question: To determine how much asset value is financed by debt or how much asset value is there to satisfy debt, you would use the: A)

To determine how much asset value is financed by debt or how much asset value is there to satisfy debt, you would use the:

A) interest coverage ratio by dividing income before interest by interest expense.

B) debt to assets ratio by dividing total debt by total assets.

C) current ratio by dividing monetary assets by current liabilities.

D) total debt ratio by dividing total debt by net worth.

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