Curdle Milk Corp.'s EBITDA last year was $499,300, its interest charges to repay $55,700 of long-term debt, and it had to make a payment of $66,900 under a long- term lease. The firm had no amortization charges. What was the EBITDA coverage ratio? Round your answer down to the nearest 2 decimals. 3.06 3.09 2.76 2.72
Curdle Milk Corp.'s EBITDA last year was $499,300, its interest charges to repay $55,700 of long-term debt, and it had to make a payment of $66,900 under a long- term lease. The firm had no amortization charges. What was the EBITDA coverage ratio? Round your answer down to the nearest 2 decimals. 3.06 3.09 2.76 2.72
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
![Curdle Milk Corp.'s EBITDA last year was $499,300, its interest charges were $60,700, it had
to repay $55,700 of long-term debt, and it had to make a payment of $66,900 under a long-
term lease. The firm had no amortization charges. What was the EBITDA coverage ratio?
Round your answer down to the nearest 2 decimals.
3.06
3.09
2.76
2.72
4.86](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F7470378f-99ab-497d-81e7-b8662f016d73%2F3ae053be-ca04-4bc1-b6d5-8919e3bc0f59%2Fza3dgs_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Curdle Milk Corp.'s EBITDA last year was $499,300, its interest charges were $60,700, it had
to repay $55,700 of long-term debt, and it had to make a payment of $66,900 under a long-
term lease. The firm had no amortization charges. What was the EBITDA coverage ratio?
Round your answer down to the nearest 2 decimals.
3.06
3.09
2.76
2.72
4.86
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