Question: Problem 5.5 JTM Airlines , a privately held firm, is looking to buy additional gates at its home airport. It has money in the bank,

Problem 5.5

JTM Airlines, a privately held firm, is looking to buy additional gates at its home airport. It has money in the bank, but that money may not be spent as it is used to pay salaries, suppliers, and equipment. It asked its bank for a loan, but the bank refused unless the project had a return higher than JTM's weighed average cost of capital. Separately, PAN Airways's CEO approached JTM's CEO to sell the airline.

You will consolidate the calculated balance sheet for PAN and the actual balance sheet for JTM and calculate the three ratios shown in the JTM balance sheet. All the data you need is in the template provided for you by JTM's CEO.

Show work and formulas in the provided blank cells. Template attached here. https://www.mediafire.com/file/fn9bnga19h1r05r/5.5.xlsx/file

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