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Comparative figures for Samsung, Apple, and Google follow. In millions Samsung Apple Google Current Year Prior Year Current Year Prior Year Current Year Prior Year

Comparative figures for Samsung, Apple, and Google follow.

In millions Samsung Apple Google
Current Year Prior Year Current Year Prior Year Current Year Prior Year
Net income $ 18,653 $ 38,049 $ 55,256 $ 59,531 $ 34,343 $ 30,736
Income taxes 7,459 14,428 10,481 13,372 5,282 4,177
Interest expense 577 567 3,576 3,240 100 114

Required:

  1. Compute the times interest earned ratio for the most recent two years for Samsung using the data shown.
  2. Is the change in Samsungs times interest earned ratio favorable or unfavorable?
  3. In the current year, is Samsung's times interest earned ratio better or worse than the same ratio for (a) Apple and (b) Google?

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