Answered: Marlin Technologies pays an 8% interest…

Marlin Technologies pays an 8% interest rate on $12 million of outstanding debt. The firm's EBIT was $3.6 million, and depreciation was $400,000. What is Marlin's cash coverage ratio?

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter7: Analysis Of Financial Statements

Section: Chapter Questions

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What is cash coverage ratio? Please provide answer this financial accounting question

Marlin Technologies pays an 8% interest rate on $12
million of outstanding debt. The firm's EBIT was $3.6
million, and depreciation was $400,000. What is Marlin's
cash coverage ratio?

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