If the interest coverage ratio (based on EBIT) is

Miscellaneous data for Firm A (as of 12/31/2021, which is both the valuation date and the end of the historical period) Revenue ($ millions) Total book value of equity ($ millions) Stock beta Share price Total book value of assets ($ millions) Interest expenses ($ millions) SG&A and other indirect costs ($ millions) COGS ($ millions) Current portion of long-term debt ($ millions) Short-term debt ($ millions) Net income ($ millions) Taxes ($ millions) Number of share outstanding as of valuation date (in millions) Long-term debt reported in long-term liabilities ($ millions) Other miscellaneous data Risk-free rate Market risk premium Relevant tax rate for Firm A Debt weight used to compute WACC for firm (no rounding) Equity weight used to compute WACC for firm (no rounding) Expected return of firm's debt (rounded to the hundredth of a percent) Expected return of firm's equity (rounded to the hundredth of a percent) WACC for firm (rounded to the hundredth of a percent) If the interest coverage ratio (based on EBIT) is Amount 14,568.2 1,886.2 1.28 $68.74 16,457.4 489.3 1,302.4 9,857.1 268.9 116.4 535.1 85.7 41.2 4,773.9 Am ount 3.87% 9.70% 18.72% Greater than 8.50 7.50 5.90 4.50 3.70 3.00 2.40 1.80 1.60 1.40 1.20 0.90 0.60 0.30 negative infinity And equal to or less than Then rating is And spread is infinity 8.50 7.50 5.90 4.50 3.70 3.00 2.40 1.80 1.60 1.40 1.20 0.90 0.60 0.30 A1/A+ A2/A A3/A- Baa2/BBB Bal/BB+ Ba2/BB BI/B+ B2/B B3/B- Caa/CCC Ca2/CC C2/C D2/D 0.61% 1.58% 2.45% 3.04% 3.93% 4.94% 5.38% 6.41% 7.37% 7.82% 8.81% 9.72% 10.58% 12.86% 16.92%