Week 3 discussion – initial response

financial institutions and investors utilize ratios to determine the financial viability of a business. Therefore, it is important for a manager to understand the use and calculation of ratios. In you initial response, include PART 1 and PART 2. Make sure your initial response is at least a 175- to 265-word count.

PART 1: DEBT TO ASSET RATIO (Solvency Ratio)

Based on the first initial of your last name, you will discuss one of the financial ratios listed below and explain why a financial institution or investor would use the ratio you chose. Include what the ratio results would tell you about the business.

PART 2:

In addition, give an example of how you would you use one of the financial ratios in your personal finances or current profession.

RATIOS: DEBT TO ASSET RATIO (Solvency Ratio)

APA Formatting: Use citations where appropriate and list associated references. All citations and references, if used, must be in APA format. Only 15% of the content can be source material. If you write in your own words, only the reference is required.