Question: What impact would borrowing an additional $ 2 0 , 0 0 0 to buy more equipment have on each of the ratios in (
What impact would borrowing an additional $ to buy more equipment have on each of the ratios in a above, assuming that no changes are expected on the income statement and balance sheet?
Current ratio
Debt to assets
Gross profit rate
Profit margin
Return on assets
Return on common stockholders' equity
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