How much of the assets are financed with debt

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Question 1: ABC. reported a debt to equity ratio of 1.4 times at the end of 2018. If the firm's total assets at year-end were $19.2 million, how much of their assets are financed with debt and how much with equity?

Option 1: Total debt = $7.2m; Total equity = $12m.

Option 2: Total debt = $11.2m; Total equity = $8m.

Option 3: Total debt = $8m; Total equity = $11.2m.

Option 4: Total debt = $12m; Total equity = $7.2m.

Reference no: EM132572584

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