Which of the following is an example of a leverage ratio?
A)Debt-equity ratio
B)Quick ratio
C)Payout ratio
D)Return on equity

Name: Which of the following is an example of a leverage ratio? A)Debt-equity ratio B)Quick ratio C)Payout ratio D)Return on equity
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Question

Quizplus · Accepted Answer

The debt-equity ratio measures the amount of debt a company has compared to its equity. It is a leverage ratio because it shows how much of a company's operations are being financed by debt.

Which of the Following Is an Example of a Leverage