an increase in the debt ratio will generally have no effect on which of these items?,

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What is the debt ratio? The debt ratio is a measure of how much a company owes in relation to what it owns. It can be calculated by dividing total liabilities by total assets. In this article, we will discuss what an increase in the debt ratio means for different items on your balance sheet – and which ones are generally not affected by an increase in the debt ratio! When a company’s debt ratio increases, it means that the total liabilities of the business have increased in relation to its assets. That can indicate problems with cash flow and profitability as well – but for now let’s focus on what this change might mean for your balance sheet! What are some items affected by an increase in the debt ratio? One way you’ll notice right away is if long-term or short-term interest rates start climbing along with inflation expectations. An increasing cost of capital will affect all areas where we borrow money (e.g., corporate bonds, municipal bonds) which could result in decreased borrowing activity, lower investment returns from fixed income securities, and reduced demand for high yield investments. A higher debt ratio also affects


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