1. Discuss the advantages and disadvantages of issuing oating rate debt (from the borrower's standpoint). 2. Should an analyst compare nancial ratios between 2 rms which operate in separate industries? Why or why not? 3. What interest rate should you use for a company rated BB? 4. Company A's cost structure is primarily variable costs, which while Company B's cost structure is primarily xed costs. Which company would likely perform better during a period of increased revenue? Why? 5. Explain why equity as reported on the balance sheet is not a good indication of the value of a company. 6. Company A has Debt/EBITDA of 3.515;. Company B has Debt/EBITDA of 5.0x. Which company will have the highest interest coverage