Which of the following statements best compares long-term borrowing capacity ratios?
A.
The debt/equity ratio is more conservative than the debt ratio.
B.
The debt ratio is more conservative than the debt/equity ratio.
C.
The debt/equity ratio is more conservative than the debt to tangible net worth ratio.
D.
The debt to tangible net worth ratio is more conservative than the debt/equity ratio.
E.
The debt ratio is more conservative than the debt to tangible net worth ratio.