c-2. What is the ratio of real assets to total assets?
Note: Round your answAssets	Liabilities and Shareholders' Equity
Microsoft shares	$125,000	Bank loan	$50,000
Computers     	30,000	Shareholders' equity	105,000
Total	$155,000	Total	$155,000

The ratio of **real assets to total assets** is calculated as follows:

1. **Real assets** are tangible items that can be used in the production of goods and services, like computers.
   - In this case, the real asset is **Computers: $30,000**.

2. **Total assets** include all assets, both tangible and financial, which is given as **$155,000**.

The formula for the ratio of real assets to total assets is:
\[
\text{Ratio of Real Assets to Total Assets} = \frac{\text{Real Assets}}{\text{Total Assets}}
\]

Substituting the values:
\[
\frac{30,000}{155,000} \approx 0.1935
\]

Thus, the ratio of real assets to total assets is approximately **0.19** or **19.35%**.

Would you like further clarification on this?

Here are 5 questions to extend this understanding:
1. What are some examples of real assets besides computers?
2. How would the ratio change if more real assets are added?
3. What is the significance of a high ratio of real assets to total assets?
4. How do financial assets compare to real assets in terms of liquidity?
5. What impact does shareholder equity have on total assets?

**Tip:** When analyzing financial statements, always distinguish between real and financial assets to better understand a company's structure.

What is the ratio of real assets to total assets?

Learn how to calculate the ratio of real assets to total assets with a real-world example. This problem uses the formula 'Real Assets / Total Assets' and is suitable for students in Grades 9-12. Example values include real assets of $30,000 and total assets of $155,000, resulting in a ratio of approximately 19.35%.

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