(Capital structure? analysis) The liabilities and? owners' equity for Campbell Industries is found? here:
Accounts payable $498,000
Notes payable $244,000
Current liabilities $742,000
Long-term debt $1,244,000
Common equity $5,305,000
Total liabilities and equity $7,291,000
a. What percentage of the? firm's assets does the firm finance using debt? (liabilities)?
b. If Campbell were to purchase a new warehouse for $ 1.4 million and finance it entirely with? long-term debt, what would be the? firm's new debt? ratio?