Two online travel companies, E-Travel and Pricecheck, provide the following selected financial data: Required: 1. Calculate the
Question:
Required:
1. Calculate the debt to equity ratio for E-travel and Pricecheck. Which company has the higher ratio?
2. Calculate the times interest earned ratio for E-travel and Pricecheck. Which company is better able to meet interest payments as they become due?
Transcribed Image Text:
E-Trave (S in thousands) Total assets Total liabilities Total stockholders' equity Sales Interest expense Tax expense Net income Pricecheck 2,905,9145 1,092,579 1,813.336 $3,084,905 29,944 218,141 527,541 S6,656,922 3,984.378 2,672,544 S3,033.645 66,428 120,342 421,500
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QUATERNARY Pursuing M.Tech.(2017-2019) in Electronics and Communication Engg. (VLSI DESIGN) from
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TERTIARY B.Tech. (2012-2016) in Electronics and Communication Engg. from GLBITM Greater Noida
SECONDARY Senior Secondary School Examination (Class XII) in 2012 from R.S.S.Inter College, Noida
ELEMENTARY Secondary School Examination (Class X) in 2010 from New R.J.C. Public School ,Noida
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Related Book For
Financial Accounting
ISBN: 978-0078025549
3rd edition
Authors: J. David Spiceland, Wayne Thomas, Don Herrmann
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