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CHAPTER 3 Saved Help Save & Exit Submit Font Styles Levine, Inc., has a total debt ratio of.53. What is its debt-equity ratio
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Answer #1

If debt is 0.53 , then equity 0.47 ( 1-0.53) .

Debt equity ratio = 0.53 /0.47 = 1.13

Equity multiplier = 1 / Total equity= 1/ 0.47= 2.13

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