Gi Gi's Bakery Has Total Assets of $425 Million

question 161

Multiple Choice

Gi Gi's Bakery has total assets of $425 million.Its total liabilities are $110 million.Its equity is $315 million.Calculate the debt ratio.

• A)38.6%.
• B)13.4%.
• C)34.9%.
• D)25.9%.
• E)14.9%.

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Definitions:

Monthly Profit

The total revenue generated by a business minus its expenses, taxes, and costs, calculated on a monthly basis.

Quality Check Department

A dedicated section within an organization focused on ensuring products or services meet quality standards through systematic inspection and testing processes.

Solver

A computational tool used in optimization that finds the best solution to a problem by varying different variables within certain constraints.

Monthly Profit

The net income earned by a business or individual during a one-month period, calculated by subtracting total expenses from total revenue.