CORRECT ANSWER C. SINCE MARBLE SAVINGS BANK IS SEEKING THE COMPA...

50.

Correct answer c. Since Marble Savings Bank is seeking the company that is most likely

to meet its loan obligations, the bank should select Nutron. Both the degree of financial

leverage and the debt/equity ratio are measures of debt-paying ability; Nutron is below

the industry average for both measures, indicating a low level of financial risk.