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Use the following information to answer this question. Windswept, Inc. 2017 Income Statement ($ in millions) Net sales $ 8,700 Cost of goods sold 7,300
Use the following information to answer this question.
Windswept, Inc. 2017 Income Statement ($ in millions) | |||
Net sales | $ | 8,700 | |
Cost of goods sold | 7,300 | ||
Depreciation | 345 | ||
Earnings before interest and taxes | $ | 1,055 | |
Interest paid | 87 | ||
Taxable income | $ | 968 | |
Taxes | 339 | ||
Net income | $ | 629 | |
Windswept, Inc. 2016 and 2017 Balance Sheets ($ in millions) | |||||||||||||
2016 | 2017 | 2016 | 2017 | ||||||||||
Cash | $ | 140 | $ | 170 | Accounts payable | $ | 1,180 | $ | 1,267 | ||||
Accounts rec. | 920 | 730 | Long-term debt | 1,020 | 1,253 | ||||||||
Inventory | 1,520 | 1,560 | Common stock | 3,210 | 2,900 | ||||||||
Total | $ | 2,580 | $ | 2,460 | Retained earnings | 460 | 710 | ||||||
Net fixed assets | 3,290 | 3,670 | |||||||||||
Total assets | $ | 5,870 | $ | 6,130 | Total liab. & equity | $ | 5,870 | $ | 6,130 | ||||
What is the cash coverage ratio for 2017?
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