Allison's Trees Has Total Assets of $846,200 and Total Debt

question 106

Multiple Choice

Allison's Trees has total assets of $846,200 and total debt of $367,500.What is the equity multiplier?

• A).46
• B).57
• C)2.17
• D)1.85
• E)1.77

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Definitions:

Available-For-Sale Securities

Securities that are held with the intent of selling them sometime in the future.

Discontinued Operations

Parts of a company's operations that have been disposed of or sold off, which are reported separately on the financial statements.

Gains

Financial benefits realized from selling assets for more than their purchase costs.

Losses

Reductions in asset value not related to the normal operations of the business.