Calculate the Debt Ratio from the Following Information

question 84

Multiple Choice

Calculate the debt ratio from the following information. Land and building = $500,000
Machinery = $300,000
Cash in hand = $400,000
Total debts = $300,000

• A) 3:4
• B) 1:4
• C) 2:3
• D) 2:2
• E) 1:3

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Definitions:

Negotiated Rule Making

Occurs when an agency that is about to create a new rule or revise existing rules enters into a cooperative process by which all parties affected by the rule have a chance to shape the final form that the rule will take.

Agencies

Organizations or bodies, either government or private, established to provide specific services or enforce regulations.

Advisory Verdict

A non-binding judgment provided by a jury to guide a judge in making a final verdict, often used in complex cases or in civil law systems.

Med-Arb

A form of ADR that combines the best aspects of both mediation and arbitration. The parties first submit to a mediation session. If the matter cannot be settled, it moves to an arbitration hearing.