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Use the following information to answer this question. Windswept, Inc. 2 0 1 7 Income Statement ( $ in millions ) Net sales $ 9

Use the following information to answer this question.
Windswept, Inc.
2017 Income Statement
($ in millions)
Net sales $ 9,600
Cost of goods sold 7,750
Depreciation 390
Earnings before interest and taxes $ 1,460
Interest paid 92
Taxable income $ 1,368
Taxes 479
Net income $ 889
Windswept, Inc.
2016 and 2017 Balance Sheets
($ in millions)
2016201720162017
Cash $ 230 $ 260 Accounts payable $ 1,510 $ 1,632
Accounts rec. 1,030930 Long-term debt 1,0301,343
Inventory 1,7001,695 Common stock 3,2802,990
Total $ 2,960 $ 2,885 Retained earnings 610860
Net fixed assets 3,4703,940
Total assets $ 6,430 $ 6,825 Total liab. & equity $ 6,430 $ 6,825
What is the cash coverage ratio for 2017?
A)15.87 times
B)2.83 times
C)3.98 times
D)7.12 times
E)20.11 times

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