标题: FRA Question from CFAI book [打印本页] 作者: cyber21 时间: 2013-4-3 17:17 标题: FRA Question from CFAI book
CFAI FRA book, page 468, #23
Can someone explain why the answer is B?
My thought is that if an asset is revalued upward, that would increase financial leverage because the numerator (assets) would increase.作者: kim226 时间: 2013-4-3 17:20
equity is going up (keeping assets equal to liabilities) and debt is staying the same. retained earnings increase through the write up realized in the income statement.作者: kd26gioi 时间: 2013-4-3 17:24
greater equity making A wrong…sorry just figured out how to edit posts
