contestada

Given below are several ratios. Select the accounts or amounts that would be used in order to calculate the ratio. You will have more than one response to each ratio. Some accounts or amounts may not be used at all. (Select all that apply.) Debt-to-equity ratio a.Cash paid for acquisitions b.Interest expense c.Total dividends paid d.Cash flow from operations before interest and tax payments e.Total stockholders' equity f.Net income g.Total liabilities h.Cash flow from operations

Respuesta :

Answer:

  • Total stockholders' equity.
  • Total liabilities.

Explanation:

The Debt to equity ratio shows the proportions of the financing options used to finance the operations of the company namely debt and equity.

It is calculated by the formula:

= Total liabilities / Total stockholders' equity * 100%

As shown by the formula , the relevant accounts are:

  • Total stockholders' equity.
  • Total liabilities.