(Capital structure analysis) Last year the Rondoelea Products Company had $138 million in annual sales and a net profit margn of 10 3 percent. In addition, Rondoelea's average tax rate was 30 percent i Rondoelea had $39 million of debt outstanding with an average interest rate of 9.9 percent, what is the firm's times interest earned rato? The times interest earned rato in times (Round to one decimal place) CHI

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
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(Capital structure analysis) Last year the Rondoolea Products Company had $138 million in annual sales and a net profit margin of 10.3 percent. In addition, Rondoelea's average tax rate was 30 percent If
Rondoelea had $39 million of debt outstanding with an average interest rate of 9.9 percent, what is the firm's times interest earned rato?
The times interest earned ratos
times (Round to one decimal place)
CHE
Transcribed Image Text:(Capital structure analysis) Last year the Rondoolea Products Company had $138 million in annual sales and a net profit margin of 10.3 percent. In addition, Rondoelea's average tax rate was 30 percent If Rondoelea had $39 million of debt outstanding with an average interest rate of 9.9 percent, what is the firm's times interest earned rato? The times interest earned ratos times (Round to one decimal place) CHE
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