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1. Assume the company below issued $1,000 of additional debt. Recalculate Debt/EBITDA and interest coverage. Adjustments Pro Forma Revenues COGS Gross Profit SG&A Depreciation Operating

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1. Assume the company below issued $1,000 of additional debt. Recalculate Debt/EBITDA and interest coverage. Adjustments Pro Forma Revenues COGS Gross Profit SG&A Depreciation Operating Income EBITDA Debt Debt/EBITDA EBITDA/Interest 5,000 4,000 1,000 250 75 675 750 1,500 2x 8.3x

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