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Solvency Analysis The following information is avallable from the balance sheets at the ends of the two most recent years and the income statement for

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Solvency Analysis The following information is avallable from the balance sheets at the ends of the two most recent years and the income statement for the most recent year of Impact Company: a. Short-term notes payable represents a 12-month loan that matured in November 2017 . Interest of 12% was paid at maturity. b. One million dollars of serial bonds had been issued temyears earlier. The first series of $200,000 matured at the end of 2017 , with interest of 8% payable annually. c. Cash flow from operations was $185,000 in 2017. The amounts of interest and taxes paid during 2017 were $89,000 and $96,000, respectively. a. The debt-to-equity ratio at December 31,2017 , and December 31,2016 to 1 b. The times interest earned ratio for 2017 c. The debt service coverage ratio for 2017 to 1 times 2. The company's debt-to equity ratio has V. The ratio is with respect to the equity of the company. The times interest earned ratio indicates that impact's profits before interest and taxes were almost the amount of i] . It is not wise to use the times interest earned ratio as the only Indicator of solvency because it considers only the payme it of I and not the payment of addition, these payments must be made with a much better indication of the company's ability to meet its obligations because it looks at the: Solvency Analysis The following information is avallable from the balance sheets at the ends of the two most recent years and the income statement for the most recent year of Impact Company: a. Short-term notes payable represents a 12-month loan that matured in November 2017 . Interest of 12% was paid at maturity. b. One million dollars of serial bonds had been issued temyears earlier. The first series of $200,000 matured at the end of 2017 , with interest of 8% payable annually. c. Cash flow from operations was $185,000 in 2017. The amounts of interest and taxes paid during 2017 were $89,000 and $96,000, respectively. a. The debt-to-equity ratio at December 31,2017 , and December 31,2016 to 1 b. The times interest earned ratio for 2017 c. The debt service coverage ratio for 2017 to 1 times 2. The company's debt-to equity ratio has V. The ratio is with respect to the equity of the company. The times interest earned ratio indicates that impact's profits before interest and taxes were almost the amount of i] . It is not wise to use the times interest earned ratio as the only Indicator of solvency because it considers only the payme it of I and not the payment of addition, these payments must be made with a much better indication of the company's ability to meet its obligations because it looks at the

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