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A manufacturing company's financials reveal the following ratios: Ratio/Calculation 2016 2015 2014 2013 2012 Industry Ave. Debt Ratio 40.0% 42.0% 46.0% 45.0% 45.0% 52.0% Times
| A manufacturing company's financials reveal the following ratios: | ||||||
| Ratio/Calculation | 2016 | 2015 | 2014 | 2013 | 2012 | Industry Ave. |
| Debt Ratio | 40.0% | 42.0% | 46.0% | 45.0% | 45.0% | 52.0% |
| Times Interest Earned | 7.1 | 7.1 | 7.1 | 6.9 | 6.9 | 7.1 |
| Fixed Charge Coverage | 5.4 | 5.4 | 5.9 | 6.9 | 6.9 | 6.5 |
| Financial Leverage Ratio | 1.7 | 1.7 | 1.9 | 1.8 | 1.8 | 2.1 |
| Based on your review of this company's debt paying ability ratios and their comparison to the industry, | ||||||
| averages comment on this company's debt-paying ability and financial leverage position. | ||||||
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Economics For Investment Decision Makers
Authors: Sandeep Singh, Christopher D Piros, Jerald E Pinto
1st Edition
1118111966, 9781118111963
