Use the Table for the Question(s) Below

question 65

Multiple Choice

Use the table for the question(s) below.

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Consider the above balance sheet for your firm (in thousands of dollars) .You plan on acquiring some new equipment using a $950,000 finance lease.If you go through with the lease,what will be the change in your firm's debt-equity ratio?

• A) 0.44
• B) 0.20
• C) 0
• D) 0.58
• E) 0.38

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