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How Is the D or L Configuration Determined

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How is the D or L configuration determined?


Definitions:

Right-Of-Use Asset

An asset that represents a lessee's right to use an underlying asset for the lease term under an agreement.

Debt-To-Equity Ratio

The ratio highlights the balance of debt and equity used in the financial structuring of a company's assets.

Total Liabilities

The aggregate of all debts and financial obligations a company owes to outside parties, reflected on the balance sheet.

Total Equity

The total value of an entity's assets after subtracting its liabilities, representing the owners' residual interest in the company.

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