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How Is the Debt-To-Owners'-Equity Ratio Used

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How is the debt-to-owners'-equity ratio used?
To describe the extent to which the firm is financed through borrowed money
To determine how much net income the business earns for each dollar invested
To determine how readily the firm can meet unexpected demands for cash
To indicate the percentage of revenue which will be profit
To determine the percentage of profits paid out to debtholders

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