All categories

2 years ago

Coulter Supply has a total debt ratio of .46. What is the equity multiplier? Select one: a. .89 b. 1.17 c. 1.47 d. 1.85 e. 2.17

Mathematics

1 answer:

Archy [21]2 years ago

7 0

Answer:

Option D.

Step-by-step explanation:

The formula for total debt ratio is

$\text{Total debt ratio}=\dfrac{\text{Total assets - Total Equity}}{\text{Total assets}}$

It can be rewritten as

$\text{Total debt ratio}=1-\dfrac{\text{Total Equity}}{\text{Total assets}}$ .... (1)

We know that,

$\text{ Equity multiplier}=\dfrac{\text{Total Equity}}{\text{Total assets}}$ ... (2)

Using (1) and (2) we get

$\text{Total debt ratio}=1-\dfrac{1}{\text{Equity multiplier}}$

Substitute total debt ratio=0.46 in the above equation.

$0.46=1-\dfrac{1}{\text{Equity multiplier}}$

$0.46-1=-\dfrac{1}{\text{Equity multiplier}}$

$-0.54=-\dfrac{1}{\text{Equity multiplier}}$

$\text{Equity multiplier}=-\dfrac{1}{-0.54}$

$\text{Equity multiplier}=1.85185185$

$\text{Equity multiplier}\approx 1.85$

Therefore, the correct option is D.

You might be interested in

A candy maker produces mints that have a label weight of 20.4 grams. Assume that the distribution of the weights of these mints

Sliva [168]

Answer:

a)0.099834

b) 0

Step-by-step explanation:

To solve for this question we would be using , z.score formula.

The formula for calculating a z-score is is z = (x-μ)/σ, where x is the raw score, μ is the population mean, and σ is the population standard deviation.

A candy maker produces mints that have a label weight of 20.4 grams. Assume that the distribution of the weights of these mints is normal with mean 21.37 and variance 0.16.

a) Find the probability that the weight of a single mint selected at random from the production line is less than 20.857 grams.

Standard Deviation = √variance

= √0.16 = 0.4

Standard deviation = 0.4

Mean = 21.37

x = 20.857

z = (x-μ)/σ

z = 20.857 - 21.37/0.4

z = -1.2825

P-value from Z-Table:

P(x<20.857) = 0.099834

b) During a shift, a sample of 100 mints is selected at random and weighed. Approximate the probability that in the selected sample there are at most 5 mints that weigh less than 20.857 grams.

z score formula used = (x-μ)/σ/√n

x = 20.857

Standard deviation = 0.4

Mean = 21.37

n = 100

z = 20.857 - 21.37/0.4/√100

= 20.857 - 21.37/ 0.4/10

= 20.857 - 21.37/ 0.04

= -12.825

P-value from Z-Table:

P(x<20.857) = 0

c) Find the approximate probability that the sample mean of the 100 mints selected is greater than 21.31 and less than 21.39.

5 0

1 year ago

Suppose you take the small prism and stack it on top of the larger prism. What will be the volume of the composite figure?

Degger [83]

Find the volume of the first figure, then find the volume of the second figure, then add them together.
V=lwh
V(1)=(15)(12)(6)
= 1,080in^3
V(2)=(12)(6)(6)
= 432in^3
--------------------------------------------
1,080+432= 1,512 in^3
--------------------------------------------
Your answer should be 1,512

3 0

2 years ago

Explain how to write an equivalent expression using the associative property.

posledela

Answer:

11+(2+y)

Step-by-step explanation:

The associative property says that you can move numbers inside the parentheses around if all the numbers are the same operation in a simple sense

So that means in this case: 2+(11+y)

We can switch the 2 and the 11 around since they are both the same, addition.

11+(2+y)

7 0

1 year ago

Read 2 more answers

The table shows the temperature of an amount of water set on a stove to boil, recorded every half minute.

Katarina [22]

Answer:

A. on edge 2020

Step-by-step explanation:

6 0

2 years ago

Given two terms in a geometric sequence, find the 8th term and the recursive formula.

Shtirlitz [24]

Answer:

Step-by-step explanation:

Finding the 8th term of this sequence will be much easier with an explicit formula, so we will find that, find the 8th term, then write the equation for the recursive. The recursive formula is only good if you know all the terms before the one you're looking for. That means if we want the 8th term, we first have to find the 7th term, but before that we have to find the 6th term, etc...

We can find the explicit formula for this using the info we have about the 5th term and the 3rd term. The explicit formula looks like this, in general terms:

$a_n=a_1*r^{n-1$ where a1 is the first term and r is the common ratio. We can solve for both, one at a time. First, using the fact that the 5th term is 3888:

$a_5=a_1*r^{5-1$ and subbing in and simplifying:

$3888=a_1*r^4$ and we will solve that for a1:

$a_1=\frac{3888}{r^4}$

Now the other equation we need for this system, using the fact that the third term is 108:

$108=a_1*r^2$ and we sub in our expression for a1:

$108=(\frac{3888}{r^4})*r^2$ which simplifies to

$108=\frac{3888}{r^2}$ and

$r^2=\frac{3888}{108}$ so

r = 6. Now we'll plug 6 in for r to find a1:

$a_1=\frac{3888}{6^4}$ so

a1 = 3. Now we have the a and r for the explicit formula:

$a_n=3*6^{n-1$ and we simply put in an for n:

$a_8=3*6^{8-1$ and

$a_8=3*6^7$ which gives us the 8th term as

a8 = 839808

The recursive formula is

$a_n=a_{n-1}*r$ and it works, also, but again, you have to have all the terms that come before the one you want or this formula is useless. Explicit is always better, in my opinion.

4 0

2 years ago