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Refer to the information below from Nordstrom Inc.s 2016 financial statements. Use the information to answer the requirements ($ millions). Sales $14,095 Depreciation expense 560

Refer to the information below from Nordstrom Inc.s 2016 financial statements. Use the information to answer the requirements ($ millions).

Sales $14,095
Depreciation expense 560
Tax expense 376
Interest expense, gross 153
Earnings from continuing operations (Net income) 600
EBITA 1,117
Cash 595
Average total assets 8,472
Total debt 2,805
Noncurrent deferred tax liabilities 324
Noncontrolling interest 0
Equity 871
Dividends paid 1,185
Cash from operating activities 2,451

a. Compute the following seven Moodys metrics for Nordstrom. See Appendix 4A for definitions.

Round answers to one decimal place (example for percentage answers: 0.2345 = 23.5%).

Ratio 2016
EBITA to average assets

%

Operating margin

%

EBITA margin

%

EBITA interest coverage

Debt to EBITDA

Debt to book capitalization

%

Retained cash flow to net debt

%

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