Goodfellas, Inc. operates in the construction business. It has a $12 million loan outstanding with a face value of $12 million, on which Goodfellas pays
Goodfellas, Inc. operates in the construction business. It has a $12 million loan outstanding with a face value of $12 million, on which Goodfellas pays 7% interest. The firms EBIT was $1.2 million in FY 2017. What is (a) the firms times interest earned, and (b) if depreciation is $300,000, what is Goodfellas cash coverage ratio?
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Authors: Robert D. Edwards, John Magee, W.H.C. Bassetti
11th Edition
1032241829, 978-1032241821
