Pad? * 92%- 10:23 PM ezto mheducation.com Thrillville has $39.3 million in bonds

Question

Pad? * 92%- 10:23 PM ezto mheducation.com Thrillville has $39.3 million in bonds payable. One of the contractual agreements in the bond indenture is that the debt to equity ratio cannot exceed 2.0. Thrillville's total assets are $79.3 million, and its liabilities other than the bonds payable are $9.3 million. The company is considering some additional financing through leasing. value Required information 10.00 points Required 1. Calculate total stockholders' equity using the balance sheet equation. (Enter your answer in millions rounded to 1 decimal place. (i.e. $5,500,000 should be entered as 5.5).) Stockholders' Equity Liabilities Assets 48.6 80.0 References eBook & Resources Learning Objective: 09-03 Understand the balance sheet effects of operating and capital leases Worksheet

Explanation / Answer

Ans 1 Assets - Liabilties = Stockholder Equity $79.30 $48.60 $30.70 (39.3+9.3) ans 2 Debt equity ratio Total debts / Total equity = Debt equity ratio $48.40 / $30.70 = 1.58 if rounded to one decimal 1.6 If any doubt please comment

Related Questions

Navigate

• Browse (All)
• Browse P
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.