At the End of Last Year,Ace Company Had Total Assets

Multiple Choice

At the end of last year,Ace Company had total assets in the amount of $6,000,000 and total liabilities in the amount of $4,000,000.The company issued shares to new stockholders at the beginning of the current year for $1,000,000.As a direct result of this transaction,the:

A) debt-to-assets ratio will increase.
B) debt-to-assets ratio will decrease.
C) net profit margin ratio will increase.
D) net profit margin ratio will decrease.