The following data have been gathered from the financial statements of HiFly Corporation: _______________________2015 ______________2016 Operating profit
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The following data have been gathered from the financial statements of HiFly Corporation:
_______________________2015 ______________2016
Operating profit ....... $550,000,000 ......... $600,000,000
Interest expense ....... $200,000,000 ......... $250,000,000
Taxes ................... $126,000,000 ......... $126,000,000
Net profit .............. $224,000,000 ......... $224,000,000
Calculate the times interest earned ratios for 2015 and 2016. Is the company more or less able to meet its interest payments in 2016 when measured this way?
Financial StatementsFinancial statements are the standardized formats to present the financial information related to a business or an organization for its users. Financial statements contain the historical information as well as current period’s financial...
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Related Book For
Fundamentals Of Investing
ISBN: 9780134083308
13th Edition
Authors: Scott B. Smart, Lawrence J. Gitman, Michael D. Joehnk
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