Question Details

Creditors would like the debt-to-equity ratio 



1.	The _________________ uses the income statement to assess a company- ability to service its debt.


	2.	The ________________ is computed by dividing a company- total liabilities by its total assets.


	3.	______________ and ____________ are the two major sources of capital.


	4.	The ________________ is calculated by dividing total liabilities by total stockholders’ equity.


	5.	Creditors would like the debt-to-equity ratio to be _______, indicating that stockholders have financed most of the assets of the firm.



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