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Bostian, Inchas Total Assets of $625,000Its Total Debt Outstanding Is

Question 44

Multiple Choice

Bostian, Inchas total assets of $625,000Its total debt outstanding is $185,000 The Board of Directors has directed the CFO to move towards a debt ratio of 55% How much debt must the company add or subtract to achieve the target debt ratio?


A) $158,750
B) $166,688
C) $175,022
D) $183,773
E) $192,962

Correct Answer:

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