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Corp'S Assets Are $625,000, and Its Total Debt Outstanding Is

Question 10

Multiple Choice

Corp.'s assets are $625,000, and its total debt outstanding is $185,000.The new CFO wants to employ a debt ratio of 55%.How much debt must the company add or subtract to achieve the target debt ratio?


A) $158,750
B) $166,688
C) $175,022
D) $183,773
E) $192,962

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