Answer to Question #201718 in Management for Anathi Tobigunya

Question

IBM’s debt ratio for 2010 is 79.6%. This means that IBM has _________________ .

1 79.6 cents of assets available for each R1 of its liabilities

2 R7.96 of non-current assets available for each R1 of its non-current liabilities

3 financed 79.6% of its debt with assets

4 financed 79.6% of its assets with debt 

Answer 1

financed 79.6% of its assets with debt