[3.6] Debt/equity ratio = Total debt/Total equity = $.28/$.72 = .39 Equity multiplier = Total assets/Total equity = $1/$.72 = 1.39 [3.7] [3.8] Long-term debt ratio = ᎏLᎏong-teᎏrm debtᎏ Long-term debt + Total equity = $457/[$457 + 2,591] = $457/$3,048 =...
An equity multiplier and a debt ratio are financial leverage ratios that show how a company uses debt to finance its assets. To find a company's equity multiplier, divide its total assets by its total stockholders' equity. To find a company's debt ratio, divide its total liabilities by its...
百度试题 题目2. A firm has a debt-equity ratio of .55. What is the equity multiplier if total equity is $4,500? A. .45 B. 1.55 C. 1.82 D. 2.22 相关知识点: 试题来源: 解析 B.1.55 反馈 收藏
Capital Structure are measure by 5 variable which are Debt to Equity Ratio (DER), Debt to Assets Ratio (DAR), Tangibility (TGB), Interest Coverage Ratio (ICR) and The Financial Leverage Multiplier (FLM) and for the Firm Value is measur...
The formula of the financial leverage/equity multiplierratio is: Financial Leverage Ratio = Average Total Assets/Average Total Equity Interest Coverage Ratio This ratio measures how many times a company’s earnings before interest & taxes (EBIT) can cover its interest payments. A high-interest cover...
(CDR) Loan to Assets Ratio (LAR), Debt toEquity Ratio (DER), Debt to Total Asset Ratio (DTAR); Equity Multiplier(EM), NonperformingLoans to Total... D Abdi - 《Mekelle University》 被引量: 5发表: 2010年 The Impact of Capital Structure on Financial Performance of Commercial Banks in ...
Financial Definition of Debt/equity ratio and related terms: Indicator of financial leverage. Compares assets provided by creditors to assets provided by ...
The coinsurance clause will only be in effect at the event ofpropertyloss. During a loss, the insurance limit and the required amount to be used for insurance based on the coinsurance percentage are compared and must have a ratio equal to or greater than one, else, a penalty will be given...
Find out how debt to equity ratio can help evaluate a company's financial leverage and how it can generate additional income for a company and shareholders.
Answer to: A firm has a debt to asset ratio of 60%, $300,000 in debt, and net income of $50,000. Calculate return on equity. A. 60% B. 20% C. 25%...