27. Select ALL that apply. Which of the following would be considered coverage ratios? a) Senior...
27. Select ALL that apply. Which of the following would be considered coverage ratios? a) Senior secured debt-to-EBITDA b) EBITDA-to-interest expense c) Total debt-to-EBITDA d) (EBITDA – capex)-to-interest expense
Homework Answers
Coverage ratios are showing the firm the ability to payoff its fixed annual commitments in number of times. EBIT/Interest expense is one of the coverage ratios.
Hence, correct option is b) EBITDA-to-interest expense.
Add Answer to:
27. Select ALL that apply. Which of the following would be
considered coverage ratios? a) Senior...
Which of the following ratios are used as an indicator of financial leverage (select all that...
Which of the following ratios are used as an indicator of financial leverage (select all that apply)? A. ROA B. Debt/EBITDA C. EBIT/Interest D. Debt/Capitalization
Calculating Ratios and Estimating Credit Rating The following data are from Kellogg’s 10-K report dated December...
Calculating Ratios and Estimating Credit Rating The following data are from Kellogg’s 10-K report dated December 29, 2018 ($ millions). Revenue $13,547 Earnings from continuing operations $1,344 Interest expense 287 Capital expenditures (CAPEX) 578 Tax expense 181 Total debt 8,893 Amortization expense 23 Average assets 17,066 Depreciation expense 493 a. Use the data above to calculate the following ratios: EBITA/Average assets, EBITA Margin, EBITA/ Interest expense, Debt/EBITDA, CAPEX/Depreciation Expense. Definitions for these ratios are in Exhibit 7.4. b. Refer to...
Calculating Ratios and Estimating Credit Rating The following data are from Kellogg's 10-K report dated January...
Calculating Ratios and Estimating Credit Rating The following data are from Kellogg's 10-K report dated January 2, 2016 ($ millions). Revenue Interest expense Tax expense Amortization expense Depreciation expense $13,750 Earnings from continuing operations 245 Capital expenditures (CAPEX) 208 Total debt 8 Average assets 526 $681 553 7,560 15,408 a. Use the data above to calculate the following ratios: EBITA/Average assets, EBITA Margin, EBITA/Interest expenses, Debt/EBITDA, CAPEX/Depreciation Expense. b. Using the ratios calculated in part a., estimate the credit rating...
Please correct all the x Assigning a Long-Term Debt Rating Using Financial Ratios Refer to the...
Please correct all the x
Assigning a Long-Term Debt Rating Using Financial Ratios Refer to the information below from Stryker's 2018 financial statements. Use the information to answer the requirements ($ millions). Revenue $13,601 Interest expense, gross $181 Depreciation expense 306 Dividends, including to noncontrolling interest 717 Amortization expense 417 Cash and cash equivalents 3,616 Operating profit (EBIT) 2,537 Marketable securities 83 Total debt 9,859 Average assets 24,713 Cash from operating activities 2,610 CAPEX 572 Funds from operations 2,852 a....
Which of the following are considered aromatic? Select all that apply: a. tetrazole b. 1,2,3 triazole...
Which of the following are considered aromatic? Select all that apply: a. tetrazole b. 1,2,3 triazole c. 1,2,4 triazole d. phenothiazine
Which of the following would be considered functions of the autonomic nervous system? Select all that...
Which of the following would be considered functions of the autonomic nervous system? Select all that apply a. Control of heart rate b. Maintenance of water balance c. Level of consciousness d. Sensory perception e. Muscle movement f. Regulation of respiration
Which of the following would be considered criminal fraud? [select all that apply] trademark counterfeiting issuing...
Which of the following would be considered criminal fraud? [select all that apply] trademark counterfeiting issuing a bad check simulating the legal process refusing to pay back taxes false statements to obtain credit
Compute and Interpret Liquidity, Solvency and Coverage Ratios Selected balance sheet and income statement information for...
Compute and Interpret Liquidity, Solvency and Coverage Ratios Selected balance sheet and income statement information for Starbucks for 2018 and 2017 follows. ($ millions) Cash 2018 2017 $ 8,756.3 $2,462.3 181.5 228.6 Short-term investments Accounts receivable 693.1 870.4 Current assets 12,494.2 5,283.4 5,684.2 4,220.7 349.9 Current liabilities Short-term debt Long-term debt Total liabilities Interest expense Capital expenditures Equity Cash from operations Earnings before interest and taxes 9,090.2 3,932.6 22,980.6 8,908.6 170.3 92.5 1,976.4 1,519.4 1,175.8 5,457.0 11,937.8 4,251.8 3,883.3 4,134.7...
1) Which of the following ratios would be used to access a company’s ability to survive...
1) Which of the following ratios would be used to access a company’s ability to survive a four-year cyclical business downturn? a. Long-term debt to equity ratio b. Quick ratio c. Times interest earned d. Return on assets 2) Which of the following ratios would be best used to access the performance of company management in increasing shareholder wealth? a. Gross profit margin b. Economic Value Added c. Dividend yield d. Book value 3) What is the ABC Company’s coverage...
Which of the following would be considered liquidity or short-term solvency ratios? quick ratio; cash ratio....
Which of the following would be considered liquidity or short-term solvency ratios? quick ratio; cash ratio. quick ratio; times interest earned ratio (TIE). current ratio; long-term debt ratio. current ratio; inventory turnover ratio;
Calculating Ratios and Estimating Credit Rating The following data are from Kellogg's 10-K report dated January 2, 2016 ($ millions). Revenue Interest expense Tax expense Amortization expense Depreciation expense $13,750 Earnings from continuing operations 245 Capital expenditures (CAPEX) 208 Total debt 8 Average assets 526 $681 553 7,560 15,408 a. Use the data above to calculate the following ratios: EBITA/Average assets, EBITA Margin, EBITA/Interest expenses, Debt/EBITDA, CAPEX/Depreciation Expense. b. Using the ratios calculated in part a., estimate the credit rating...
Please correct all the x
Assigning a Long-Term Debt Rating Using Financial Ratios Refer to the information below from Stryker's 2018 financial statements. Use the information to answer the requirements ($ millions). Revenue $13,601 Interest expense, gross $181 Depreciation expense 306 Dividends, including to noncontrolling interest 717 Amortization expense 417 Cash and cash equivalents 3,616 Operating profit (EBIT) 2,537 Marketable securities 83 Total debt 9,859 Average assets 24,713 Cash from operating activities 2,610 CAPEX 572 Funds from operations 2,852 a....
Which of the following would be considered functions of the autonomic nervous system? Select all that apply a. Control of heart rate b. Maintenance of water balance c. Level of consciousness d. Sensory perception e. Muscle movement f. Regulation of respiration
Compute and Interpret Liquidity, Solvency and Coverage Ratios Selected balance sheet and income statement information for Starbucks for 2018 and 2017 follows. ($ millions) Cash 2018 2017 $ 8,756.3 $2,462.3 181.5 228.6 Short-term investments Accounts receivable 693.1 870.4 Current assets 12,494.2 5,283.4 5,684.2 4,220.7 349.9 Current liabilities Short-term debt Long-term debt Total liabilities Interest expense Capital expenditures Equity Cash from operations Earnings before interest and taxes 9,090.2 3,932.6 22,980.6 8,908.6 170.3 92.5 1,976.4 1,519.4 1,175.8 5,457.0 11,937.8 4,251.8 3,883.3 4,134.7...
Most questions answered within 3 hours.
-
Atmospheric Mass
Venus and Earth have about the same mass and radius, but the
atmospheric pressure...
asked 7 minutes ago -
5. Discuss the use of fault tree analysis (FTA) for risk
assessment (maximum one paragraph).
asked 1 hour ago -
Given that a sample of aluminium oxide has a Young's modulus of
393 GPa and a...
asked 2 hours ago -
At a certain temperature, the equilibrium constant, Kc, for this
reaction is 53.3.
H2(g)+I2(g)−⇀↽−2HI(g)Kc=53.3
At this...
asked 4 hours ago -
Question1 ) The STL provides similiar classes called stack and
queue, both of which gave functions...
asked 5 hours ago -
For Questions 1-4, assume you have 5 bits available:
1. For (positive) integers: What is the...
asked 5 hours ago -
convert grams into vloume with the density of water being at
.997514 g/cm^3 at 23.1 Celsuis...
asked 7 hours ago -
Foreman company obtained a $20,000, 6% loan on May 1, 2018.
Principal and interest will be...
asked 7 hours ago -
5. Problem 11.05 (Discounted Payback)
eBook
Project L costs $60,000, its expected cash inflows are $14,000
per...
asked 7 hours ago -
1. Which of the following is true about politics and health
organizations?
A. Health organizations are...
asked 8 hours ago -
A space vehicle is coasting at a constant velocity of 18.1 m/s
in the +y direction...
asked 9 hours ago -
5) Use the following balanced equation to answer questions
(a)-(i).
3 Cu(s) + 8 HNO3(aq) →...
asked 8 hours ago