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Exercise 10-16 Suppose McDonald's 2017 financial statements contain the following selected data (in milions) Current assets Total assets Current liabilities Total liabilities $3,416.3 Interest expense
Exercise 10-16 Suppose McDonald's 2017 financial statements contain the following selected data (in milions) Current assets Total assets Current liabilities Total liabilities $3,416.3 Interest expense 30,224.9 Income taxes $473.2 1,936.0 4,551.0 2,9887Net income 16,191.0 Your answer is correct Compute the following values. 1. Working capital. 2. Current ratio. (Round to 2 decimal places, e.g. 6.25:1.) 3. Debt to assets ratio. (Round to 0 decimal places, e.g. 62o.) 4. Times interest earned. (Round to 2 decimal places, e.g. 6.25.) 427.6 millions 1.14 :1 53.57 % 14.71 times SHOW SOLUTION SHOW ANSWER LINK TO TEXT X Your answer is incorrect. Try again Suppose the notes to McDonald's financial statements show that subsequent to 2017 the company will have future minimum lease payments under operating leases of $10,715.5 million. If these assets had been purchased with debt, assets and liabilities would rise by approximately $8,800 million. Recompute the debt to assets ratio after adjusting for this. (Round answer to 0 decimal places, eg, 62%.) Debt to assets ratio
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