Which of the following is a leverage ratio?
A) inventory turnover ratio
B) debt-to-equity ratio
C) current ratio
D) acid-test ratio
E) accounts receivable turnover ratio

Question

Quizplus · Accepted Answer

A)A company's ability to pay its long-term debts is reflected in its leverage ratios. Debt-to-equity ratio is a leverage ratio.
B)A company's ability to pay its long-term debts is reflected in its leverage ratios. Debt-to-equity ratio is a leverage ratio.
C)A company's ability to pay its long-term debts is reflected in its leverage ratios. Debt-to-equity ratio is a leverage ratio.
D)A company's ability to pay its long-term debts is reflected in its leverage ratios. Debt-to-equity ratio is a leverage ratio.
E)A company's ability to pay its long-term debts is reflected in its leverage ratios. Debt-to-equity ratio is a leverage ratio.

Which of the Following Is a Leverage Ratio