Calculate the debt ratio calculate the equity


You are considering a stock investment in one of two firms (LotsofDebt, Inc. and LotsofEquity, Inc.), both of which operate in the same industry. Lots of Debt, Inc. finances its $34.00 million in assets with $31.00 million in debt and $3.00 million in equity. Lots of Equity, Inc. finances its $34.00 million in assets with $3.00 million in debt and $31.00 million in equity. Calculate the debt ratio. (Round your answers to 2 decimal places.) Calculate the equity multiplier. (Round your answers to 2 decimal places.) Calculate the debt-to-equity. (Round your answers to 2 decimal places.)

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Financial Management: Calculate the debt ratio calculate the equity
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