Financial ratios that reflect the degree to which a firm relies on borrowed funds are called the ________ ratios.

Name: Financial ratios that reflect the degree to which a firm relies on borrowed funds are called the ________ ratios.
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Leverage ratios measure the extent to which a company relies on borrowed funds to finance its operations and are also known as gearing ratios or debt ratios. Examples of leverage ratios include debt-to-equity ratio, debt-to-assets ratio, and interest coverage ratio.

Financial Ratios That Reflect the Degree to Which a Firm