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Paint Company Following Are Selected Data from Paint Company's Financial Statements

Question 73

Multiple Choice

Paint Company
Following are selected data from Paint Company's financial statements.
Paint Company Following are selected data from Paint Company's financial statements.    -Refer to the Paint Company data. Paint's debt­to­equity ratio for 2016 is: A)  an indicator that Paint Company's ability to meet current interest payments to creditors is increasing. B)  increasing slightly from 2015 to 2016. C)  an indicator that for every $1 of capital that stockholders provided, creditors provided $0.83. D)  an indicator that Paint Company has relied on stockholders for funds more in 2015 than in 2016.
-Refer to the Paint Company data. Paint's debt­to­equity ratio for 2016 is:


A) an indicator that Paint Company's ability to meet current interest payments to creditors is increasing.
B) increasing slightly from 2015 to 2016.
C) an indicator that for every $1 of capital that stockholders provided, creditors provided $0.83.
D) an indicator that Paint Company has relied on stockholders for funds more in 2015 than in 2016.

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