A lending institution would prefer that a firm have a__________ debt- equity ratio and a __________times interest earned ratio.

Name: A lending institution would prefer that a firm have a__________ debt- equity ratio and a __________times interest earned ratio.
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A lending institution would prefer a firm to have a lower debt-equity ratio, indicating less reliance on debt financing, and a higher times interest earned ratio, indicating better ability to cover interest obligations.

A Lending Institution Would Prefer That a Firm Have A__________