Question
The following selected ratios are available for Ice Inc.: 2021 2020 2019 Debt to total assets 40 % 45 % 50 % Interest coverage 1.0
The following selected ratios are available for Ice Inc.:
| 2021 | 2020 | 2019 | |||||||
|---|---|---|---|---|---|---|---|---|---|
| Debt to total assets | 40 | % | 45 | % | 50 | % | |||
| Interest coverage | 1.0 | times | 1.5 | times | 2.0 | times | |||
Has the debt to total assets improved or weakened over the past three years?
| The debt to total assets has gradually select an option improvedweakened over the past three years. |
Has the interest coverage improved or weakened over the past three years?
| The interest coverage has select an option improvedweakened over the past three years. |
Overall, has the companys solvency improved or weakened over the past three years?
| The companys solvency appears to be select an option relatively improvedrelatively weakenedrelatively stable. |
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Financial Accounting and Reporting a Global Perspective
Authors: Michel Lebas, Herve Stolowy, Yuan Ding
4th edition
978-1408076866
