A Debt-To-Assets Ratio of 0

question 104

Multiple Choice

A debt-to-assets ratio of 0.50 indicates that the company has:

• A)more liabilities than stockholders' equity.
• B)equal amounts of liabilities and stockholders' equity.
• C)more stockholders' equity than liabilities.
• D)no liabilities.

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Definitions:

Per Unit Tax

A tax levied on goods that is fixed in amount for each unit produced or sold.

Consumer Surplus

The gap in the total funds consumers are willing and financially prepared to allocate for a good or service, versus the funds actually allocated.

Producer Surplus

The difference between the amount producers are willing to supply a good for and the actual amount they receive when the good is sold.

Producer Surplus

The gap highlighting the difference between the initial asking price by sellers for goods or services and the ultimately received price.