Ratio Analysis: The Debt Ratio The DEBT RATIO is a measure of long-term solvency and...

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Ratio Analysis: The Debt Ratio The DEBT RATIO is a measure of long-term solvency and of the portion of assets financed by debt. It compares total liabilities to total assets. 1) Calculate the total equity for each corporation. [in 000's] 2) Compute the debt ratio for each corporation Debt ratio 3) What percentage of Yal-mart's assets were financed with 4) What percentage of Yal-Mart's assets were financed with 5) A compang financed heavily with debt will tend to have a 6) Which companies rely the most heavily on debt to finance 7) If the debt ratio measures the amount of financial risk. Which compang has the most financial risk ? 8) In general, a compang that has higher financial risk will be interest rates when borrowing money. 9) Explain why a compang with greater debt tends to be a 10) Does a high debt ratio indicate a weak corporation? Explain: 11) Tesla has the lowest debt ratio. does this mean it has the Explain: 12) Refer to the Cash Flow Summary tab. How might gou explain Apple's Explain

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