The _____,a debt utilization ratio,indicates how much of a firm is financed by debt and how much by owners' equity.
A)debt to liquidity ratio
B)debt to current ratio
C)debt to quick ratio
D)debt to receivables turnover ratio
E)debt to total assets ratio

Question

Quizplus · Accepted Answer

The debt to total assets ratio is a financial metric that indicates the proportion of a company's assets that are financed by debt compared to those financed by the owners' equity. It provides insight into the company's financial leverage and risk level.

The _____,A Debt Utilization Ratio,indicates How Much of a Firm