What Is the Approximate Total Debt Ratio for a Firm

question 69

Multiple Choice

What is the approximate total debt ratio for a firm with a total debt to equity ratio of .65?

• A)35 percent
• B)39 percent
• C)54 percent
• D)65 percent If total debt/equity = .65
• Then total liabilities/total assets = .65/1.65

---

Definitions:

Justification Reports

Documents that provide reasons or rationale as to why a certain decision or action is preferred or proposed.

Organizational Plans

Detailed proposals for achieving specific goals within an organization.

Business Description

A detailed overview of a business, including its purpose, offerings, market position, and key objectives, typically found in business plans or company profiles.

Feasibility Study

An assessment of the practicality and viability of a proposed project or system.