Question
Suppose McDonald's 2017 financial statements contain the following selected data (in millions). Current assets$3,350.0Interest expense$450.0Total assets29,000.0Income taxes1,800.0Current liabilities2,950.0Net income4,300.0Total liabilities14,500.0 Compute the following values. 1.Working
Suppose McDonald's 2017 financial statements contain the following selected data (in millions).
Current assets$3,350.0Interest expense$450.0Total assets29,000.0Income taxes1,800.0Current liabilities2,950.0Net income4,300.0Total liabilities14,500.0
Compute the following values.
1.Working capital.$ millions2.Current ratio. (Round to 2 decimal places, e.g. 6.25:1.) :13.Debt to assets ratio. (Round to 0 decimal places, e.g. 62%.) %4.Times interest earned. (Round to 2 decimal places, e.g. 6.25.) ? times
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 $16,000.0 million. If these assets had been purchased with debt, assets and liabilities would rise by approximately $8,000 million. Recomputed the debt to assets ratio after adjusting for this. (Round answer to 0 decimal places, e.g. 62%.)
Debt to assets ratio ? %
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