The _____ is a common measure of leverage that compares liabilities to assets.
A) current ratio
B) average collection period
C) debt ratio
D) inventory turnover ratio

Question

Quizplus · Accepted Answer

The debt ratio is a measure of leverage that compares a company's total liabilities to its total assets, indicating the proportion of a company's assets that are financed by debt.

The _____ Is a Common Measure of Leverage That Compares