Multiple Choice
If the pro forma balance sheet shows that total assets must increase by $400,000 while retaining a debt-equity ratio of .75 then:
A) debt must increase by $300,000.
B) equity must increase by the full $400,000.
C) debt must increase by $171,429.
D) equity must increase by $100,000.
Correct Answer:
Verified
Correct Answer:
Verified
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