Which of the following statements is true of the debt to equity ratio?
A) The higher the debt to equity ratio, the lower the company's financial risk.
B) The higher the debt to equity ratio, the greater the company's financial risk.
C) If the debt to equity ratio is greater than 1, the company is financing more assets with equity than with debt.
D) If the debt to equity ratio is less than 1, the company is financing more assets with debt than with equity.
B
Business
You might also like to view...
____________ demand relates to finished goods while _____________ demand relates to component parts.
a. Independent, dependent b. Dependent, independent c. none of the above d. all of the above
Business
Those portfolio managers who follow an indexing strategy are said to be "index huggers." Why?
What will be an ideal response?
Business