When a Company Has a High Debt Ratio, It Is

question 94

Multiple Choice

When a company has a high debt ratio, it is an indication of a:

• A) high solvency risk.
• B) weak operating efficiency.
• C) high profit margin.
• D) low asset turnover.

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Definitions:

County Institutions

Organizations or establishments operated at the county level, which could include government offices, public services, or community programs.

Public Highways

Roads or thoroughfares that are maintained by the government for the public to use for transportation.

High-involvement Product

A product that requires significant customer thought and research before purchase due to its higher price or personal importance.

Running Shoes

Footwear designed to enhance comfort, support, and performance specifically for the activity of running.