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Consider the following data for Intel Corporation for the year 2023: Item Amount ($) Total Debt 2,000,000 Total Assets 5,000,000 Total Equity 3,000,000 Net Income

Consider the following data for Intel Corporation for the year 2023:

Item

Amount ($)

Total Debt

2,000,000

Total Assets

5,000,000

Total Equity

3,000,000

Net Income

400,000

Requirements:

  1. Calculate the Debt to Equity Ratio.
  2. Determine the Debt to Total Assets Ratio.
  3. Compute the Interest Coverage Ratio if interest expense is $50,000.
  4. Analyze the company's financial leverage.
  5. Evaluate the impact of a 10% increase in total debt on the leverage ratios.

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