I guess and got it right.
hope this helps
Total debt ratio is the ratio of total debt to total assets
i.e
Total debt ratio = Total debt / Total assets
But Total assets is nothing but total equity plus total debt
Now let us consider,
TD = Total debt
TE = Total equity
TA= Total assets
Therefore,
Total debt ratio = TD/TA
But as mentioned above
TA = TD + TE
total debt ratio = Total debt/(total debt+total equity)
total debt ratio = .34(given)
.34 = TD / (TD + TE)
Solving this equation yields:
0.34 = 1/(1+ TE/TD)
0.34(1+TE/TD) = 1
0.34 + 0.34TE/TD =1
.34(TE/TD) = 1 - 0.34
0.34 (TE/TD) = 0.66
0.34TE = 0.66TD
Now, Debt equity ratio is the ratio of Total debt to total equity
Debt-equity ratio = TD / TE
Debt-equity ratio = 0.34 / 0.66
Debt-equity ratio = 0.51515152
What knowledge? I am without this that you talk of.
A. money value
A dollar is always worth more today than it would be worth tomorrow, according to the concept of the time value of money.
Answer:
$250,000
Explanation:
As we know that the income statement reports the total revenues earned and the total expenses incurred. The total revenues should be presented on the income statement on the credit side while the total expenses should be presented on the income statement on the debit side.
In the given case, the sales are made for $250,000 and the other amount that is given is not related to the revenue
So, only $250,000 should be reported as a total revenues