Which type of analysis could reveal that a company is relying heavily on debt financing?
A)Common size statements
B)Horizontal analysis
C)The fixed asset turnover ratio
D)Trend analysis

Name: Which type of analysis could reveal that a company is relying heavily on debt financing? A)Common size statements B)Horizontal analysis C)The fixed asset turnover ratio D)Trend analysis
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Question

Quizplus · Accepted Answer

Common size statements (vertical analysis)would show the debt as a percent of total assets.

Which Type of Analysis Could Reveal That a Company Is