Selected data from 2014 financial statements of Xi Corporation include the following (amount in millions): $\begin{array}{lr}
\text { Current Assets } & ¥ 759 \
\text { Total Assets } & 1,250 \
\text { Current Liabilities } & 300 \
\text { Total Liabilities } & 850 \
\text { Cash } & 80 \
\text { Interest Expense } & 50 \
\text { income Taxes } & 100 \
\text { Net Income } & 160
\end{array}$ The debt to total assets ratio is
A) 68.0%
B) 92.0%
C) 1.47%
D) 6.2 times

Question

Quizplus · Accepted Answer

The debt to total assets ratio is calculated as Total Liabilities divided by Total Assets. Here, it is $ \frac{850}{1250} = 0.68 $ or 68.0%.

Selected Data from 2014 Financial Statements of Xi Corporation Include