The relationship between total liabilities and total assets is known as the:
A)debt ratio.
B)debt to equity ratio.
C)current ratio.
D)earnings per share.

Name: The relationship between total liabilities and total assets is known as the: A)debt ratio. B)debt to equity ratio. C)current ratio. D)earnings per share.
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Question

Quizplus · Accepted Answer

Total liabilities and total assets are used to calculate the debt ratio, which shows the proportion of a company's assets that are financed through debt.

The Relationship Between Total Liabilities and Total Assets Is Known