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A corporation reports the following year-end balance sheet data. The companys debt-to-equity ratio equals: $ 56,000 Current
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Answer #1

Answer is 0.47

Total Debt = Current Liabilities + Long-term Liabilities
Total Debt = $92,000 + $25,000
Total Debt = $117,000

Total Equity = Common Stock + Retained Earnings
Total Equity = $117,000 + $133,000
Total Equity = $250,000

Debt-to-Equity Ratio = Total Debt / Total Equity
Debt-to-Equity Ratio = $117,000 / $250,000
Debt-to-Equity Ratio = 0.47

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