What Is the Approximate Total Debt Ratio for a Firm

question 95

Multiple Choice

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

• A) 35%
• B) 39%
• C) 54%
• D) 65%

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Definitions:

Mathematical Difference

The result of subtracting one quantity from another.

Range

The difference between the largest and smallest values in a dataset, a measure of spread or variability.

Hypotheses

Theoretical statements set forth for experimentation that predict a possible relationship between two or more variables, which may include both null and alternative hypotheses.

Interquartile Range

A measure of statistical dispersion, equal to the difference between the upper and lower quartiles, representing the middle 50% of the data.