alleryStart learning →Debt is 300 and equity is 700. What is the debt-to-capital ratio?
A0.43
B0.30
C0.70
D2.33
Answer & Solution
Correct answer: B. 0.30
Capital is 300 + 700 = 1,000, so debt to capital is 300 / 1,000 = 0.30.
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