Question

Lever Age pays an 9% rate of interest on $9.10 million of outstanding debt with face value $9.1 million. The

firm’s EBIT was $2.9 million.

a. What is its times interest earned? (Round your answer to 2 decimal places.)

  Times Interest earned?

b. If depreciation is $110,000, what is its cash coverage ratio? (Round your answer to 2 decimal places.)

Cash coverage ratio?

Looking for a Similar Assignment? Order now and Get 10% Discount! Use Coupon Code "Newclient"