Multiple Choice
If Company A has a debt-to-assets ratio of 0.73 while Company B has a debt-to-assets ratio of 0.45,which of the following statements is correct?
A) Stockholders own a smaller proportion of Company A than Company B.
B) Company A must make less profit than Company B.
C) Creditors own a smaller proportion of Company A than Company B.
D) Company A must have fewer assets than Company B.
Correct Answer:

Verified
Correct Answer:
Verified
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