Question: Chapter 6 Problem 16 Problem 15, part f. in Chapter 3 asks you to construct a five -year financial projection for Aquatic Supplies beginning in

Chapter 6 Problem 16 Problem 15, part f. in Chapter 3 asks you to construct a five -year financial projection for Aquatic Supplies beginning in 2018. The five-year projection appears below. a. Calculate the company's times-interest-earned ratio for each year from 2017 to 2022. b. Calculate the percentage EBIT can fall before interest coverage dips below 1.0 for each year from 2017 to 2022 C. Consulting Table 6.5 in the text , what bond rating would Aquatic Supplies have in 2017 if the rating was based solely on the firm's interest coverage ratio? d. Based on this rating , would a significant increase in financial leverage be a prudent strategy for Aquatic Supplies

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