The Debt Ratio Is an Indicator of a Company's

question 9

Multiple Choice

The debt ratio is an indicator of a company's:

• A)percentage of assets financed with debt.
• B)relationship between current liabilities and current assets.
• C)relationship between interest expense and income.
• D)relationship between debt and interest expense.

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Definitions:

Technological Advance

The improvement or innovation in technology, which contributes to increased productivity, efficiency, and potentially new products or services.

E-commerce

Buying and selling on the Internet.

Discounters

Retailers or sellers that offer goods and services at lower prices by reducing overhead costs and margins, often leading to high volume sales.

Misery Index

An economic indicator calculated by adding the unemployment rate to the inflation rate, aiming to measure the health of an economy.