Question

In: Accounting

The lower the debt to equity​ ratio, the greater the​ company's financial risk. True False

The lower the debt to equity​ ratio, the greater the​ company's financial risk. True False

Solutions

Expert Solution

Ans. False

Explanation: The higher debt to equity ratio indicates the higher risk and the lower Debt to equity ratio indicates the lower financial risk.

ekkarill92 answered 2 years ago
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