Two online travel companies, E-Travel and Pricecheck, provide the following selected financial data: E-Travel Pricecheck Total assets $ 6,537,156 $ 1,938,224 Total liabilities 3,654,475 Total stockholders' equity 2,882,681 R-11 Sales revenue $ 3,155,426 480,610 1,457,614 $ 2,538,212 28,084 51,168 497,472 Interest expense 88,233 Income tax expense 162,400 Net income 307,526 Required: 1-a. Calculate the debt to equity ratio for E-Travel and Pricecheck. 1-b. Which company has higher leverage risk? 2-a. Calculate the times interest earned ratio for E-Travel and Pricecheck. 2-b. Which company is better able to meet interest payments as they become due? Complete this question by entering your answers in the tabs below. Req la Req 1b Req 2a Req 2b Calculate the debt to equity ratio for E-Travel and Pricecheck. (Round ratios to 2 decimal places.) Debt to Equity Ratio Numerator/Denominator Amounts E-Travel 0 Pricecheck 0 Two online travel companies, E-Travel and Pricecheck, provide the following selected financial data: Total assets Total liabilities E-Travel $ 6,537,156 3,654,475 2,882,681 $ 3,155,426 Total stockholders' equity Pricecheck $ 1,938,224 480,610 1,457,614 $ 2,538,212 28,084 Sales revenue Interest expense 88,233 162,400 51,168 Income tax expense Net income 307,526 497,472 Required: 1-a. Calculate the debt to equity ratio for E-Travel and Pricecheck. 1-b. Which company has higher leverage risk? 2-a. Calculate the times interest earned ratio for E-Travel and Pricecheck. 2-b. Which company is better able to meet interest payments as they become due? Complete this question by entering your answers in the tabs below. Req 1a Req 1b Req 2a Req 2b Which company has higher leverage risk? Which company has higher leverage risk? Two online travel companies, E-Travel and Pricecheck, provide the following selected financial data: Total assets E-Travel $ 6,537,156 3,654,475 2,882,681 Total liabilities. Pricecheck $ 1,938,224 480,610 1,457,614 $ 2,538,212 Total stockholders' equity Sales revenue $ 3,155,426 88,233 Interest expense 28,084 162,400 51,168 Income tax expense Net income 307,526 497,472 Required: 1-a. Calculate the debt to equity ratio for E-Travel and Pricecheck. 1-b. Which company has higher leverage risk? 2-a. Calculate the times interest earned ratio for E-Travel and Pricecheck. 2-b. Which company is better able to meet interest payments as they become due? Complete this question by entering your answers in the tabs below. Req la Req 1b Req 2a Req 2b Calculate the times interest earned ratio for E-Travel and Pricecheck. (Round ratios to 1 decimal place.) Times Interest Earned Ratio Numerator/Denominator Amounts E-Travel 0 Pricecheck 0 Two online travel companies, E-Travel and Pricecheck, provide the following selected financial data: Total assets Total liabilities E-Travel $ 6,537,156 3,654,475 2,882,681 $ 3,155,426 88,233 Total stockholders' equity Pricecheck $ 1,938,224 480,610 1,457,614 $ 2,538,212 28,084 Sales revenue Interest expense Income tax expense Net income 162,400 51,168 307,526 497,472 Required: 1-a. Calculate the debt to equity ratio for E-Travel and Pricecheck. 1-b. Which company has higher leverage risk? 2-a. Calculate the times interest earned ratio for E-Travel and Pricecheck. 2-b. Which company is better able to meet interest payments as they become due? Complete this question by entering your answers in the tabs below. Req la Req 1b Req 2a Req 2b Which company is better able to meet interest payments as they become due? Which company is better able to meet interest payments as they become due?
