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Use the following information to answer this question. Windswept, Inc. 2017 Income Statement ($ in millions) Net sales $ 9,200 Cost of goods sold 7,550
Use the following information to answer this question.
Windswept, Inc. 2017 Income Statement ($ in millions) | |||
Net sales | $ | 9,200 | |
Cost of goods sold | 7,550 | ||
Depreciation | 370 | ||
Earnings before interest and taxes | $ | 1,280 | |
Interest paid | 97 | ||
Taxable income | $ | 1,183 | |
Taxes | 414 | ||
Net income | $ | 769 | |
Windswept, Inc. 2016 and 2017 Balance Sheets ($ in millions) | |||||||||||||
2016 | 2017 | 2016 | 2017 | ||||||||||
Cash | $ | 190 | $ | 220 | Accounts payable | $ | 1,370 | $ | 1,512 | ||||
Accounts rec. | 950 | 850 | Long-term debt | 1,070 | 1,303 | ||||||||
Inventory | 1,620 | 1,635 | Common stock | 3,200 | 2,950 | ||||||||
Total | $ | 2,760 | $ | 2,705 | Retained earnings | 510 | 760 | ||||||
Net fixed assets | 3,390 | 3,820 | |||||||||||
Total assets | $ | 6,150 | $ | 6,525 | Total liab. & equity | $ | 6,150 | $ | 6,525 | ||||
What is the cash coverage ratio for 2017?
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