The following information pertains to Patterson Corporation.Assume that all balance sheet amounts represent both average and ending figures.

Patterson Corporation had 6,000 shares of common stock issued and outstanding.The market price of Patterson common stock on December 31,20x5,was $20.Patterson paid dividends of $0.90 per share during 20x5.
-What is the debt to equity ratio for this corporation? Round your answer to 1 decimal place.
A)0.4 times
B)0.6 times
C)1.0 times
D)2.5 times

Question

The following information pertains to Patterson Corporation.Assume that all balance sheet amounts represent both average and ending figures.

Patterson Corporation had 6,000 shares of common stock issued and outstanding.The market price of Patterson common stock on December 31,20x5,was $20.Patterson paid dividends of $0.90 per share during 20x5.
-What is the debt to equity ratio for this corporation? Round your answer to 1 decimal place.
A)0.4 times 
B)0.6 times 
C)1.0 times 
D)2.5 times

Quizplus · Accepted Answer

The debt to equity ratio is calculated by dividing total liabilities by shareholders' equity. Without specific numbers provided in the question, a precise calculation cannot be made. However, the correct answer would depend on the given financial figures of the corporation, which are not provided in this scenario.

The Following Information Pertains to Patterson Corporation