Abracadabra Inc

question 18

Multiple Choice

Abracadabra Inc. has total assets of $106,000 and a debt ratio of 40%. If last year's sales were $145,000 and sales are expected to grow 10% in the future, what is Abracadabra's capital intensity ratio?

• A) 0.73
• B) 1.37
• C) 0.44
• D) 2.27

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