What is the firm's TIE? Exhibit for questions # 40-50 The balance sheet and income...
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What is the firm's TIE? Exhibit for questions # 40-50 The balance sheet and income statement shown below are for Koski Inc. Note that the firm has no amortization charges, it does not lease any assets, none of its debt must be retired during the next 5 years, and the notes payable will be rolled over. Balance Sheet (Millions of $) Asset Cash and securities Accounts receivable Inventories Total current assets 2015 $ 2,500 11,500 16,000 $30,000 $20,000 S50,000 Net plant and equipment Total assets Liabilities and Equity Accounts payable Accruals Notes payable Total current liabilities $ 9,500 5,500 _7000 $22,000 Long-term bands Total liabilities Common stock Retained earnings $15.000 S37,000 S 2,000 11,000 $13,000 S50,000 Total common equity Total liabilities and equity Income Statement (Mallions of 2015 Net sales Operating costs except depreciation Depreciation Femings before interest and taxes (EBIT) Less interest Earnings before taxes (EBT) 587,500 81,813 1531 $ 4,156 -1375 $ 2,781 973 $ 1,808 Taxes Net income Other data Shares outstanding (millions) Common dividends Intrate on notes payable & LT bonds Federal plus state income rate Year-end stock price 500,00 5632.73 6.25% 35% 543.39 ca. 2.20 Ob 245 2.72 d.3.02 O.333
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