Ask Question
6 May, 01:55

At the beginning of the current year, Snell Co. total assets were $264,000 and its total liabilities were $182,200. During the year, the company reported total revenues of $109,000, total expenses of $84,000 and dividends of $13,000. There were no other changes in equity during the year and total assets at the end of the year were $276,000. The company's debt ratio at the end of the current year is:

+4
Answers (1)
  1. 6 May, 02:27
    0
    The company's debt ratio at the end of the current year is 66%

    Explanation:

    For computing the debt ratio, we need to apply the formula which is shown below:

    Debt ratio = (Total liabilities) : (total assets) * 100

    = ($182,200 : $276,000) * 100

    = 66%

    The other information which are given in the question is of no use. That's why we do not consider it. Hence, ignored it.
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “At the beginning of the current year, Snell Co. total assets were $264,000 and its total liabilities were $182,200. During the year, the ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers