If a company has a 70 percent debt to total assets ratio,approximately 70 cents of every dollar of assets is owned by the company.

Name: If a company has a 70 percent debt to total assets ratio,approximately 70 cents of every dollar of assets is owned by the company.
Brand: Quizplus
Rating: 4.8 (39 reviews)

Question

Quizplus · Accepted Answer

A 70 percent debt to total assets ratio means that 70 percent of the assets are financed through debt, leaving only 30 percent owned by the company. Therefore, approximately 30 cents of every dollar of assets is owned by the company.

If a Company Has a 70 Percent Debt to Total