hese are the three long term solvency for Cisco Inc.   Based on these numbers how well is the comany doing? How are the level of debt financing?

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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These are the three long term solvency for Cisco Inc.

 

Based on these numbers how well is the comany doing? How are the level of debt financing?

 

Rounded to: Millions
Current Year:
2018
Prior Year:
2017
Debt ratio:
Total Liabilities
$65,580.0
$63,681.0
Total Assets
$108,784.0
$129,818.0
$65,580.0
$63,681.0
0.60 times
0.49 times
$108,784.0
$129,818.0
Debt to equity ratio:
Total Liabilities
$65,580.0
$63,681.0
Stockholders' Equity
$43,204.0
$66,137.0
$65,580.0
$63,681.0
1.52 times
0.96 times
$43,204.0
$6,137.0
Interest coverage ratio*:
Income Before Income
Taxes + Interest Expense
$12,929.0
($943.0)
$2,678.0
($861.0)
Interest Expense
($943.0)
($861.0)
* This ratio may also be referred to as
$11,986.0
$1,817.0
the "Times-interest-earned" ratio or TIE
-12.71 times
(2.11) times
ratio.
($943.0)
($861.0)
Transcribed Image Text:Rounded to: Millions Current Year: 2018 Prior Year: 2017 Debt ratio: Total Liabilities $65,580.0 $63,681.0 Total Assets $108,784.0 $129,818.0 $65,580.0 $63,681.0 0.60 times 0.49 times $108,784.0 $129,818.0 Debt to equity ratio: Total Liabilities $65,580.0 $63,681.0 Stockholders' Equity $43,204.0 $66,137.0 $65,580.0 $63,681.0 1.52 times 0.96 times $43,204.0 $6,137.0 Interest coverage ratio*: Income Before Income Taxes + Interest Expense $12,929.0 ($943.0) $2,678.0 ($861.0) Interest Expense ($943.0) ($861.0) * This ratio may also be referred to as $11,986.0 $1,817.0 the "Times-interest-earned" ratio or TIE -12.71 times (2.11) times ratio. ($943.0) ($861.0)
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