Other things being equal,the higher the debt to equity ratio,the higher the risk of bankruptcy.

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This is because a higher debt to equity ratio indicates that a company is relying more heavily on borrowing to finance its operations, which means it has a higher level of financial leverage. This increases the risk of bankruptcy because if the company is unable to make its debt payments, it may be forced to file for bankruptcy.

Other Things Being Equal,the Higher the Debt to Equity Ratio,the