Find out debt to equity ratio, Accounting Basics

Current Assets are $70,000, non-current assets are $150,000, current liabilities are $40,000 and long term liabilties are $30,000. What is the debt to equity ratio?

0.47
Stock holder Equity = total assets - total liabilities

(70,000 + 150,000) - (40,000 + 30,000) = 150,000 SE

Debt to Equity = Total Liabilities / stock holder equity

70,000/150,000 = 0.46666

Posted Date: 2/26/2013 2:50:52 AM | Location : United States







Related Discussions:- Find out debt to equity ratio, Assignment Help, Ask Question on Find out debt to equity ratio, Get Answer, Expert's Help, Find out debt to equity ratio Discussions

Write discussion on Find out debt to equity ratio
Your posts are moderated
Related Questions
Q. What are simple journal entries? To understand the cross-indexing and posting process trace the entries from the general journal to the general ledger. The ledgers accounts


Q. Valuation of ending inventory? First a merchandising company should be sure that it has properly valued its ending inventory. If the resulting in an ending inventory is over

A Bank reconciliation manipulates cross verifying the entries in the cash book(bank balance)with that of pass book. Mostly the reasons for disagreement of cash book with that of

Q. What is journal? In explaining the rules of credit and debit we recorded transactions directly in the accounts. Every ledger (general ledger) account shows only the increase

How the use of different accounting policies affect the financial performance of different entities operating within the same industry

Q. Importance of proper inventory valuation? A merchandising company is able to prepare accurate statements of retained earnings, income statements and balance sheets only if i

What is ACOUNTS RECEIVABLE LEDGER Businesses have several customers and individual businesses aren't assigned an account number they are just in alphabetical order. Accounts

Determining needed adjustments Adjustments are required since certain changes take place during the accounting period. As time passes, although, the value of the asset is consu

Illustrate the subsequent Accounting Concepts: a) Dual Aspect concept b) Materiality concept c) Matching concept d) Conservatism concept