what-does-a-debt-to-equity-ratio-greater-than-10-imply-about-a-companys-financin

Question

What does a debt to equity ratio greater than 1.0 imply about a company's financing strategy?

Accepted Answer

The company has more debt than equity, indicating a reliance on debt financing.

Answer

The company has more equity than debt, indicating a reliance on equity financing.

Answer

The company is equally financed by debt and equity.

Answer

The company has no liabilities.