One measure of a company's overall long-term financial health is the debt-to-equity ratio.

Question

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The debt-to-equity ratio measures a company's long-term financial health by comparing its total debt to its shareholders' equity. A lower ratio indicates that the company has less debt and is less risky, while a higher ratio indicates the opposite. Therefore, the debt-to-equity ratio is an important indicator of a company's overall long-term financial health.

One Measure of a Company's Overall Long-Term Financial Health Is