Total Debt = $456,000 - $217,000
= $239,000
Debt-Equity Ratio = $239,000 / $217,000
= 1.10
There for the debt-equity ratio is 1.10
What is Debt-equity ratio?
A company's financial leverage is measured by its debt-to-equity (D/E) ratio, which is calculated by dividing its total liabilities by the value of its shareholders. A key metric in corporate finance is the D/E ratio. It measures the proportion of debt that a company is employing to finance its operations as opposed to cash on hand. A specific kind of gearing ratio is the debt-to-equity ratio.
To learn more about Debt-equity ratio
https://brainly.com/question/27993089
#SPJ4
