The financial ratio measured as total assets minus total equity,divided by total assets,is the:
A) total debt ratio.
B) equity multiplier.
C) debt-equity ratio.
D) current ratio.
E) times interest earned ratio.

Question

Quizplus · Accepted Answer

The total debt ratio is calculated as (Total Assets - Total Equity) / Total Assets, which measures the proportion of a company's assets that are financed by debt.

The Financial Ratio Measured as Total Assets Minus Total Equity,divided