Answered: Which of the following ratios measures…

Which of the following ratios measures financial leverage? a. The return on assets ratio. b. The inventory turnover ratio. c. The times interest earned ratio. d. The debt to equity ratio.

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter12: Fainancial Statement Analysis

Section: Chapter Questions

Problem 27MCQ

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Question

Which of the following ratios measures financial leverage?
a. The return on assets ratio.
b. The inventory turnover ratio.
c. The times interest earned ratio.
d. The debt to equity ratio.

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