Calculating the debt ratio and the debt-to-equity ratio


Question: Calculating the Debt Ratio and the Debt-to-Equity Ratio Ernst Company's balance sheet shows total liabilities of $27,600,100, total stockholders' equity of $12,355,000, and total assets of $39,955,100.

Required: 1. Calculate the debt ratio.

2. Calculate the debt-to-equity ratio.

Solution Preview :

Prepared by a verified Expert
Accounting Basics: Calculating the debt ratio and the debt-to-equity ratio
Reference No:- TGS02493983

Now Priced at $15 (50% Discount)

Recommended (91%)

Rated (4.3/5)