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3. Consider the following information for the Trident Corporation (in millions) Gross profit 6,100 Royalty and commission income 120 Other operating income 115 Other operating

3. Consider the following information for the Trident Corporation (in millions)
Gross profit 6,100
Royalty and commission income 120
Other operating income 115
Other operating expenses 5,550
Operating profit 785
Interst Income 30
Interest Expense 118
Income before taxes 697
Income Taxes 161
Net Income 536
Additional information
Depreciation and amortization was $256 million
Total Assets: $11,618 million
Total Debt: $1,840 million
Shareholders' equity $ 5,120 million
a. What is the EBITDA interest coverage ratio for Trident Corp?
b. What is the debt/capital ratio for Trident Corp?
c. Which of the 4 C's of credit is addressed by the EBITDA interest coverage ratio? Why?

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