Which of the Following Is an Example of Leverage Ratios

question 19

Multiple Choice

Which of the following is an example of leverage ratios?

• A) Debt-Equity ratio
• B) Quick ratio
• C) Payout ratio
• D) Return on equity

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Definitions:

Whole-Life Insurance

A type of permanent life insurance policy that offers a death benefit alongside a savings account component, covering the insured for their entire life.

Long-Term Bonds

Debt securities with maturities typically longer than 10 years, offering regular interest payments and repayment of principal at maturity.

Life Insurance Firms

Companies that provide financial compensation to beneficiaries upon the death of the insured person.

Death Benefit

The sum paid to a policyholder's beneficiaries upon their death, typically in life insurance and annuities.