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Match the Correct Ratio Name from the List Below Labeled

Question 7

Multiple Choice

Match the correct ratio name from the list below labeled a through f with the ratio formulas appearing in items
-Net income / (net income + interest expense x [1 - tax rate])


A) Debt/equity ratio
B) Capital structure leverage
C) Return on sales
D) Long term debt ratio
E) Return on equity
F) Common equity leverage

Correct Answer:

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