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GenCorp Has a Total Debt of $140 Million and Stockholders

question 21

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GenCorp. has a total debt of $140 million and stockholders' equity of $50 million. It also has 26 million shares outstanding, with a market price of $4.00 per share. What is GenCorp's market debt-equity ratio?

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Definitions:

Absorption

The process by which substances are taken up into or across tissues, such as the absorption of nutrients by the digestive system or chemicals through the skin.

Cephalosporins

A class of antibiotic drugs used to treat a wide variety of bacterial infections, operating by disturbing the synthesis of the bacterial cell wall.

Penicillins

A group of antibiotics derived from Penicillium fungi, used to treat bacterial infections.

Pharmacotherapeutics

The study of how drugs are used to treat disease; also called clinical pharmacology.

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