Flanders Company Has Total Assets of $400,000 and Total Liabilities

question 191

Multiple Choice

Flanders Company has total assets of $400,000 and total liabilities of $270,000. The company collects an account receivable of $20,000. After this transaction, the company's debt ratio will be: (Round your final answer to two decimal places.)

• A)0.64.
• B)0.68.
• C)0.63.
• D)1.48.

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Definitions:

Reflexes

Automatic, involuntary responses to specific stimuli.

Cardinal Trait

A dominant personality characteristic that defines and shapes all of a person’s behaviors, thoughts, and attitudes, influencing their entire life.

Ruling Passion

A dominant inner force or motivation that shapes an individual's actions and life path, often driving their decisions and priorities.

Traits

Enduring characteristics that describe an individual's behavior across various situations.