Comparing the extent of long-term debt to equity is an example of __________.
A) Vertical analysis
B) Horizontal analysis
C) Ratio analysis
D) Pivottables

Question

Quizplus · Accepted Answer

Comparing the extent of long-term debt to equity is an example of ratio analysis, specifically a leverage ratio, which measures the degree to which a company is financing its operations through debt versus wholly owned funds.

Comparing the Extent of Long-Term Debt to Equity Is an Example