Question: a . Interest coverage ratio ( Assume that year 1 EBIT was 1 , 3 0 7 and year 1 interest expense was 1 3

a. Interest coverage ratio (Assume that year 1 EBIT was 1,307 and year 1 interest expense was 130.
b. Average collection period (Assume that the accounts receivable balance was 970 on December 31 of the previous year and that year 1 sales were 2,738.)(Use 365 days in a year.)
c. Current ratio d. Quick ratio
 a. Interest coverage ratio (Assume that year 1 EBIT was 1,307

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