Analysis Component: Analysis Compresses assets are financed 76% by debt. What does this mean? As part of your answer, include an explanation of how the 76% was calculated.(Round your answer to the nearest whole number.) square square square

This means that 76% of Analysis Compresses' assets are purchased using borrowed money (debt financing) rather than equity financing (funds from owners/investors). A high percentage of debt financing can indicate higher financial risk for a company.<br /><br />Here's how the 76% is likely calculated:<br /><br />**Formula:** (Total Debt / Total Assets) * 100<br /><br />**Example:** Let's say Analysis Compresses has $100 million in total assets and $76 million in total debt.<br /><br />($76 million / $100 million) * 100 = 76%<br /><br />Therefore, 76% of the company's assets are financed by debt. The remaining 24% would be financed by equity.<br />