Calculate debt and equity ratio


Problem:

Binomial Tree Farm's financing includes $6.7 million of bank loans. Its common equity is shown in Binomial's Annual Report at $6.84 million. It has 500,000 shares of common stock outstanding, which trade on the Wichita Stock Exchange at $16.3 per share.

Required:

Question: Calculate debt and equity ratio

Note: Please show basic calculation

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Finance Basics: Calculate debt and equity ratio
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