Question: Consecutive five year balance sheets and income statements of La

Consecutive five-year balance sheets and income statements of Laura Gibson Corporation are shown below.


Operating lease payments were as follows: 2009, $30,000; 2008, $27,000; 2007, $28,500; 2006, $30,000; 2005, $27,000 (dollars in thousands).

Required
a. Compute the following for the years ended December 31, 2005–2009:
1. Times interest earned
2. Fixed charge coverage
3. Debt ratio
4. Debt/equity ratio
5. Debt to tangible net worth
b. Comment on the debt position and the trends indicated in the long-term debt-payingability.
View Solution:


Sale on SolutionInn
Sales60
Views1904
Comments
  • CreatedJune 22, 2012
  • Files Included
Post your question
5000