Question: Consider this simplified balance sheet for Geomorph Trading: $ Current assets Long-term assets $ 120 520 70 270 Current liabilities Long-term debt Other liabilities Equity


Consider this simplified balance sheet for Geomorph Trading: $ Current assets Long-term assets $ 120 520 70 270 Current liabilities Long-term debt Other liabilities Equity 90 $ 640 210 $ 640 BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB a. What is the company's debt-equity ratio? (Round your answer to 2 decimal places.) b. What is the ratio of total long-term debt to total long-term capital? (Round your answer to 2 decimal places.) c. What is its net working capital? d. What is its current ratio? (Round your answer to 2 decimal places.) volo Debt-equity ratio Long-term debt-to-capital ratio Net working capital Current ratio Lever Age pays an 10% rate of interest on $10.80 million of outstanding debt with face value $10.8 million. The firm's EBIT was $1.8 million. a. What is its times interest earned? (Round your answer to 2 decimal places.) Times interest earned b. If depreciation is $280,000, what is its cash coverage ratio? (Round your answer to 2 decimal places.) Cash coverage ratio
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
