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AA 09-3 Global Analysis LO A1 Comparative figures for Samsung, Apple, and Google follow. In millions Net income Income taxes

AA 09-3 Global Analysis LO A1 Comparative figures for Samsung, Apple, and Google follow. Apple In millions Year Current Year

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Answer #1
Samsung Apple Google
Current Year Prior Year Current Year Current Year
Net Income 42186747 22726092 48351 12662
Income Taxes 14009220 7987560 15738 14531
Interest 655402 587831 2323 109
EBIT 56851369 31301483 66412 27302
1.Times Interest earned ratio = EBIT/Interest
Current Year Prior Year
TIE 86.7427457 53.24912 Times
2.Higher the ratio better it is
Hence, the change is favorable
3.Ratio Apple Google
Current year 28.5888937 250.4771
Hence, samsung's ratio is better than Apple
Worse than Google

3 Net Income 4 Income Taxes 5 Interest 6 EBIT BC DE Samsung Apple Google Current Year Prior Year Current Year Current Year 42

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