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Compute and Interpret Liquidity and Solvency Ratios Selected balance sheet, income statement and cash flow statement information from Tesla, Inc. for 2017 and 2016 follows

Compute and Interpret Liquidity and Solvency Ratios

Selected balance sheet, income statement and cash flow statement information from Tesla, Inc. for 2017 and 2016 follows ($ thousands).

December 31 2017 2016
Cash and cash equivalents $3,812,358 $3,837,660
Restricted cash 157,656 107,852
Net receivables 515,381 499,142
Inventory 2,263,537 2,067,454
Other current assets 268,365 194,465
Current assets 7,017,297 6,706,573
Current liabilities 7,674,670 5,827,005
Total liabilities 23,022,980 16,750,167
Stockholders' equity 6,076,836 6,538,353
Year ended December 31, 2017
Loss before income taxes $(2,209,032)
Interest expense 515,703
Cash flows from operating activities (58,321)
Capital expenditures (3,859,258)

a. Compute the current ratio and quick ratio for each year.

Note: Round answers to two decimal places.

2017 2016
Current ratio Answer Answer
Quick ratio Answer Answer

b. Compute the debt-to-equity ratio for 2017 and 2016 and the times-interest-earned ratio for 2017.

Note: Round answers to two decimal places. Use a negative sign with your answer, if appropriate.

2017 2016
Debt-to-equity ratio Answer Answer
Times interest earned ratio Answer

c. Compute the cash burn rate for 2017.

Note: Round answer to the nearest whole number. Use a negative sign with your answer, if appropriate.

$Answer thousand per day

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