Question: Using the following selected income statement data for KRJ Enterprises, calculate the EBITDA coverage ratio. Present your answer rounded to two decimal places. e.g. 20.00.
Using the following selected income statement data for KRJ Enterprises, calculate the EBITDA coverage ratio. Present your answer rounded to two decimal places. e.g. 20.00.
| Sales | $13,474 |
| Cost of goods sold | 6,802 |
| Cash operating expenses* | 2,442 |
| Depreciation and amortization expense | 1,955 |
| Operating earnings (EBIT) | 6,864 |
| Interest expense | 942 |
| Tax expense | 1,058 |
*included in the cash operating expenses are $927 of operating lease expenses
In addition, $459 of interest was capitalized during the year debt principal of $1,054 was repaid.
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