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Problem - The following information was taken from Charu Company's balance sheet:
Fixed assets (net) $910,000
Long-term liabilities 260,000
Total liabilities 800,000
Total stockholders' equity 320,000
Required -
(a) Determine the company ratio of fixed assets to long-term liabilities and Round to one decimal place.
(b) Determine the company ratio of liabilities to stockholders' equity. Round to one decimal place.
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