A. Total liabilities divided by total assets. B. The amount a company must repay

Question

A. Total liabilities divided by total assets. B. The amount a company must repay creditors when a bond matures. C. A prearranged agreement that allows a company to borrow at will up to a limit. D. These are liabilities that have been incurred during the period but not yet paid. E. This type of liability is uncertain; it exists only if some other condition occurs. An example is a lawsuit. F. The amount that the lender actually pays for a bond. 1. Accrued Liability 2. Issue price 3. Face value 4. Line of credit 5. Contingent liability 6. Debt-to-assets ratio 7. The total amount of money that a company owes in debt. Have to match letter with number

Explanation / Answer

Letters Nos A. Total Liabilities /Total Assets 6. Debt to Asset ratio B. The amount a company must repay when a Bond Matures 3. Face value C. A prearranged agreement that allows a company to borrow at will upto a limit 4. Line of credit D. These are liabilities that have been incurred during the period but not paid 1. Accrued Liabilities E. This type of liability is unceratin , it exists only if certain other condition occurs 5. Contingent Liability F. The amount that the lender actually pays for a bond 2. Issue Price

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