The debt to equity ratio of four companies is given below. $$\begin{array} { | l | c | }
\hline & \text { Debt to equity ratio } \
\hline \text { Lewis, Inc. } & 1.30 \
\hline \text { Jackson, Inc. } & 1.50 \
\hline \text { Jones Corp. } & 0.88 \
\hline \text { Roberts Corp. } & 0.92 \
\hline
\end{array}$$
-Based on the debt to equity ratio,which of the following companies has the least financial risk?

Question

The debt to equity ratio of four companies is given below. $$\begin{array} { | l | c | } 
\hline & \text { Debt to equity ratio } \
\hline \text { Lewis, Inc. } & 1.30 \
\hline \text { Jackson, Inc. } & 1.50 \
\hline \text { Jones Corp. } & 0.88 \
\hline \text { Roberts Corp. } & 0.92 \
\hline
\end{array}$$ 
-Based on the debt to equity ratio,which of the following companies has the least financial risk?

Quizplus · Accepted Answer

Jones Corp. has the lowest debt to equity ratio of 0.88, indicating it has the least financial risk compared to the others.

The Debt to Equity Ratio of Four Companies Is Given