Calculate the debt ratio equity multiplier and


Suppose you are considering an investment in Amazon.com. Amazon's balance sheet lists the following: current assets of $450,000, fixed assets of $950,000, current liabilities of $275,000, long-term liabilities of $550,000, and total shareholders' equity of $575,000. Calculate the debt ratio, equity multiplier, and debt-to-equity ratio for Amazon.com. What do these ratios suggest about the leverage of Amazon?

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Financial Management: Calculate the debt ratio equity multiplier and
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