What is the total debt to asset ratio

Assignment Help Financial Management
Reference no: EM13873549

A firm has total assets of 2,000,000. it has 900,000 in long term debt. the stockholders equity is 900,000. What is the total debt to asset ratio?

45%

40%

55%

None of the above

Reference no: EM13873549

Questions Cloud

Determine the annual investment in an equally weighted : Determine the annual investment in an equally weighted portfolio
Describe role of ion or a gas in the ocean ion or a gas : The ocean consists of dissolved gases such as oxygen, nitrogen, carbon dioxide, and ions (magnesium, salt, chloride, ammonia, calcium, phosphate) pick an ion or a gas and describe its role in the ocean or negative results from excess or absence.
What cost of capital should newton purchase the crusher : Newton Rock Co is considering the purchase of a new rock crusher. This new machine will allow Newton to receive new cash flows of $20,000 per year for the next four years. At the end of the fourth year, Newton will sell the crusher for $75,000. At wh..
How much money should be invested in corporate bond fund : The school board also discusses how to invest some of its reserves. They want to invest 2.5 million dollars in a mixture of 2 types of bond funds: a corporate bond fund paying 5% interest per year, and a municipal bond fund paying 6% interest per yea..
What is the total debt to asset ratio : A firm has total assets of 2,000,000. it has 900,000 in long term debt. the stockholders equity is 900,000. What is the total debt to asset ratio?
Prepare a critical analysis of a qualitative study : Prepare a critical analysis of a qualitative study focusing on the problem statement, study purpose, research question, literature review, and theoretical framework. This can be one of the selected articles from your previous literature review or ..
Use a lot of short-term debt instead of long-term debt : When the external capital market is very relaxed (e.g., optimistic investors, low interest rate, and many potential investors), would you recommend a start-up firm to use a lot of short-term debt instead of long-term debt? Why or why not? And would y..
Describe the parts of an e-commerce endorsement : Describe the parts of an e-commerce endorsement
Design and write the client and server programs : Design and write the client and server programs necessary to provide a multiple client CPU scheduler that handles CPU bursts and I/O bursts.

Reviews

Write a Review

Financial Management Questions & Answers

  Question 1 during periods when inflation is increasing

question 1. during periods when inflation is increasing interest rates tend to increase while interest rates tend to

  The percent of sales method of forecasting assumes

The percent of sales method of forecasting assumes which of the following is constant?

  What rate must be set on the beverly bonds

Jane Smith currently holds tax-exempt bonds of Good Samaritan Healthcare that pay 7 percent interest. She is in the 40 percent tax bracket. Her broker wants her to buy some Beverly Enterprises taxable bonds that will be issued next week. With all els..

  What is the annual loan constant

What is the annual loan (mortgage) constant on a $400,000 loan for 30 years at 5% interest rate? Assume payments are made monthly.

  Constant dollar before-tax ROR with inflation

An investor has an opportunity to buy a parcel of land for $350,000. He plans to sell it in two years. What will the sale price have to be for the investor to get a 23% constant dollar before-tax ROR with inflation averaging 12% annually?

  Determine what is the current value of the lease

Payments are due on the first day of each month starting with the day you sign the lease contract. If your cost of money is 4.9 percent, what is the current value of the lease

  New index level be if all stocks on the DJIA increased

Assume that on a particular day, the DJIA opened at 11,960.09. The divisor at that time was .132550914. What would the new index level be if all stocks on the DJIA increased by $1.00 per share on the next day?

  What is the break-even exchange rate

Suppose your company imports computer motherboards from Singapore. The exchange rate is currently 1.2943 S$/US$. You have just placed an order for 24,000 motherboards at a cost to you of 239.00 Singapore dollars each. What is the break-even exchange ..

  What ways can thebusiness benefit from a web site

What Internet business model would be appropriate for the company to follow in creating a Web site and why and what ways can thebusiness benefit from a Web site?

  What price will you receive margin call

You buy 500 shares of stock at a price of $57 and an initial margin of 65 percent. If the maintenance margin is 40 percent, at what price will you receive a margin call?

  Interest-only and the balance of the loan

You have just borrowed $235,000 using a 1/1 ARM where payments for the first year are interest-only and the balance of the loan is fully amortized over the remaining 29 years. If you expect the yield on the 1-year LIBOR to be 4% one year from now, wh..

  What is the annual dollar amount of interest-bond investment

Assume that three years ago you purchased a corporate bond that pays 6.5 percent. The purchase price was $1,000. What is the annual dollar amount of interest that you receive from your bond investment?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd