This Is Builders Ltd's Balance Sheet at Year-End The Debt Ratio Is:
A)52%
B)73%
C)86%
D)46

question 5

Multiple Choice

This is Builders Ltd's balance sheet at year-end. $$\begin{array} { l r } \text { Current assets } & \$ 410000 \\\text { Long-term assets } & 345000 \\\text { Current liabilities } & 250000 \\\text { Long-term liabilities } & 100000 \\\text { Share cap ital } & 200000 \\\text { Retained earnings } & 205000\end{array}$$ The debt ratio is:

• A)52%
• B)73%
• C)86%
• D)46%

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Definitions:

Quantity Demanded

The aggregate sum of a product or service that buyers are prepared to buy at a determined price point, at a certain moment.

Surplus

The situation in which the quantity of goods produced exceeds the quantity demanded, often leading to a drop in prices.

Supply Increases

Refers to a situation where the quantity of a good or service that producers are willing and able to sell at a given price level rises, often leading to a decrease in prices if demand remains constant.

Equilibrium Price

The cost at which the amount of a product or service being sought after matches the amount being offered, resulting in a stable market.