Bach Instruments Had Total Assets of $600,000; Total Liabilities of $270,000;

question 112

Multiple Choice

Bach Instruments had total assets of $600,000; total liabilities of $270,000; and total Stockholders' Equity of $330,000. Bach's debt ratio is: (Round your final answer to the nearest whole number.)

• A)82%.
• B)55%.
• C)45%.
• D)38%.

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Definitions:

Trade Names

The commercial names used by businesses to operate in the market, often different from their legal registered names.

Disclosure Statement

A document that outlines important or required information that a company must provide to consumers, investors, or regulatory bodies, particularly regarding financial operations, risks, or conflicts of interest.

Exclusive Territory

A designated area or market where a specific distributor or sales agent has the exclusive rights to sell a particular product or service.

Franchise Purchase

The act of buying the rights to operate a branch of an established business, allowing the purchaser to sell the franchisor's products or services under their business model and brand.