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DEBT RATIOS Debt Ratio Debt to % % % % % assets Debt to % % % % % equity % % % % % Debt to assets Debt to equity % % % A measure of a company's total debt to its total asset is .

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Leverage describes a company's financial structure and measures the longterm risks of a company (Abdullah and Ismail, 2008). The leverage ratio is a widely accepted measure of the additional risk placed on common stockholders as a result of the decision to finance operations with debt (Caplan et al., 2012).

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