Question: Calculate debt service coverage ratio ( using EBITDA instead of EBIT ) based on the company's financial information below: Net Operating Profit: 1 2 ,

Calculate debt service coverage ratio (using EBITDA instead of EBIT) based on the company's financial information below:
Net Operating Profit: 12,000
Depreciation & Amortization: 2,000
Accounts Payable: 2,000
Line of Credit: 2,500
Current Portion of Long-Term Debt: 3,000
Interest Expense: 800
3.7
1.9
2.5
2.2
 Calculate debt service coverage ratio (using EBITDA instead of EBIT) based

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