The financial statements of Flathead Lake Manufacturing Company are shown below.

Note: The common shares are trading in the stock market for $15 per share.
Refer to the financial statements of Flathead Lake Manufacturing Company. The firm's debt-to-equity ratio for 2017 is ________.
A) 2.13
B) 2.44
C) 2.56
D) 2.89

Question

The financial statements of Flathead Lake Manufacturing Company are shown below.

Note: The common shares are trading in the stock market for $15 per share.
Refer to the financial statements of Flathead Lake Manufacturing Company. The firm's debt-to-equity ratio for 2017 is ________.
A) 2.13 
B) 2.44 
C) 2.56 
D) 2.89

Quizplus · Accepted Answer

Debt-to-equity ratio = 2,3000,000/900,000 = 2.56

The Financial Statements of Flathead Lake Manufacturing Company Are Shown