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Debt analysis Springfield Bank is valuating Creek Enterprises, which has requested a 53,790,000 loan, to assess the firm's financial leverage and financial risk. On the

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Debt analysis Springfield Bank is valuating Creek Enterprises, which has requested a 53,790,000 loan, to assess the firm's financial leverage and financial risk. On the basis of the debt ratios for Creek, along with the industry averages and Creek's recent financial statements, and recommend appropriate action on the loan request Industry averages Creek Enterprises Income Statement Dette Data Table Times resteamed ratio Creek Enterprises Balance Sheet bed payment coverage rabo Chek Enterprise's debt ratio is 0.71 Round to two decimal places) Click on the icon located on the top-right comer of the data table below in order to copy its contents into a spreadsheet) Creek Enterprises's times interesteamed ratio is 3.11. (Round to two decimal places) Creek Enterprises's fixed payment coverage ratio Round to two decimal places.) Creek Enterprises Income Statement for the Year Ended December 31, 2019 Sales revenue 5291351.000 Less Cost of goods sold 20.990 000 13961,000 Less Operating expenses Sating expense 52.965 000 General and administrative expenses 1 25.000 Lease expense 157.000 Depreciation expense 1,017,000 Tot operating expense 500 000 Operating profits 52981.000 Les interest expense 958.000 Net pots before taxes 5202) 000 Les Taxes ate-215) 424,830 Net profits after taxes 51,590, 170 Less Preferred stock dividends Esmings valable for common stockholders $1.59.620 Enter your answer in the answer box and then Check Answ 2 g . F 3 Creek Enterprises, which has requested nts evaluate and recommend appropriate Data Table Creek Enterprises 737 205 Creek Enterprises (Click on the icon located on the top right comer of the data table below in order to copy its contents into a spreadsheet.) and to two decimal places.) is 3.11. (Round to two decimal places tio is .(Round to two decimal places Creek Enterprises Balance Sheet December 31, 2019 Assets Liabilities and Stockholders' Equity Current assets Current habilities Cash $1,050,000 Accounts payable $7.971,000 Marketable securities 2.996.000 Notes payable 7,958,000 Accounts receivable 12,045,000 Accruals 456,000 Inventores 7,506,000 Total current liabilities $16,385,000 Total current assets $23,597,000 Long-term debt (includes financial leases)" $19,026,500 Gross fixed assets (at cost" Stockholders' equity Land and buildings $10.970,000 Preferred stock (25,300 shares. $3.50 dividend) $2,492,000 Machinery and equipment 20.462,000 Common stock (1.17 million Furniture and fixtures 8.015.000 shares at 55 25 par) 6,142,500 Gross fixed assets $39.447.000 Paid-in capital in excess of par value 4,043,000 Less: Accumulated depreciation 12.990.000 Retained earnings 1,965.000 hen click Check Answer Print Done

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