Match the words with the term.
-debt/coverage ratio
A) quick ratio
B) debt-to-equity ratio
C) price/earnings ratio
D) return on revenue
E) inventory turnover

Question

Quizplus · Accepted Answer

The debt-to-equity ratio is a measure that compares the amount of debt a company has to its equity, essentially showing the balance between the money the company has borrowed and the money invested by shareholders. It's a key indicator of a company's financial leverage and health, making it the correct match for "debt/coverage ratio," which is a general term that can refer to how well a company can cover its debt-related obligations.

Match the Words with the Term