Question

what is the times interest earned ratio for 2017
Consolidated Statement of Income PepsiCo, Inc. and Subsidiaries Fiscal years ended December 27, 2017, December 28, 2016 and December 29, 2015 (in millions except per share amounts) $ $ 2017 63,525 28,785 34,740 24,231 2016 62,799 $ 28,209 34,590 24,805 2015 63,056 28,731 34,325 24,613 1,359 8,353 (970) +5+) 10,509 (1,151) 244 9,602 4,694 59 Net Revenue Cost of sales Gross profit Selling, general and administrative expenses Venezuela impairment charges Operating Profit Interest expense Interest income and other Income before income taxes Provision for income taxes (See Note 5) Net income Less: Net income attributable to noncontrolling interests Net Income Attributable to PepsiCo Net Income Attributable to PepsiCo per Common Share Basic Diluted Weighted average common shares outstanding Basic Diluted Cash dividends declared per common share 9,785 (1,342) 110 8,553 2,174 6,379 - 4,908 7,442 1,941 5,501 49 5,452 51 50 | $ 4,857 $ 6,329 $ | # 3.40 $ 3.38 $ 4.39 4.36 $ $ 3.71 3.67 # $ 1,425 1,438 3.1675 1,439 1,452 2.96 1,469 1,485 2.7625 $ $ $

Answer 1

PepsiCo, Inc and Subsidiaries (in millions)

Times interest earned ratio for 2017 = Operating profit before interest and taxes / Total interest expenses

Where, Operating profit before interest and taxes is $ 10,509

Total interest expenses is $ 1,151

Times interest earned ratio = $ 10,509 / $ 1,151

Times interest earned ratio = 9.13 times (rounded off to 2 decimals)