Indicate Whether Each of the Following Statements About Financial Statement

Short Answer

Indicate whether each of the following statements about financial statement analysis is true or false.
_____ a)Solvency ratios measure a company's short-term debt paying ability and its financial structure.
_____ b)A company with a high debt to assets ratio probably would be considered to have a high level of financial risk.
_____ c)The debt to equity ratio and debt to assets ratio are two ways to measure the same relationship.
_____ d)From the point of view of stockholders,a decline in the debt to equity ratio is always good news.
_____ e)The lower the debt to equity ratio,the higher a company's financial leverage.