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  3. which of the following is assessed using the debt?

Which of the following is assessed using the debt? ratio? A. net income B. profitability C. revenues D. risk of default

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Question

Accounting

Which of the following is assessed using the debt?ratio?

A.

net income

B.

profitability

C.

revenues

D.

risk of default

Answer & Explanation Solved by verified expert
3.8 Ratings (571 Votes)
D This option is correct Because the default risk is assessed using the loan ratio The default risk is the possibility that a company or an individual may be unable to make the required payments on the debt obligation Investors have a default risk in all types of credit extensions    See Answer
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