Use the Table for the Question(s) Below

question 34

Multiple Choice

Use the table for the question(s) below.
Luther Industries currently has the following balance sheet (in Thousands of dollars) :
Luther is about to add a new fleet of delivery trucks. The price of the fleet is $1.5 million.
-If Luther acquires the new fleet of delivery trucks using a capital lease, Luther's debt-to-equity ratio will be closest to ________.

• A) 0.66
• B) 1.5
• C) 0.80
• D) 2.0

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Definitions:

Religious Beliefs

Systems of faith and worship that generally involve belief in a divine or higher power and are characterized by specific rituals, practices, and moral codes.

Poverty-Stricken Area

A geographic region where a significant portion of the population lives below the poverty line, facing economic hardship and limited access to resources.

Numerous Contexts

Various or multiple settings, situations, or environments in which something can occur or be applied.

Strictly Positive

In mathematics, referring to a quantity greater than zero.