How do I calculate based on the Income Statement and Balance sheet below: Times Interest Earned =Earnings before interest & taxes/interest expense, gross?(in thousands) (in thousands)20152014Sales (net)30,500 Cash400500Interest income500 Short-term investments300200 Total Revenue31,000 Accounts receivable (net)3,2002,900Cost and expenses Inventory6,0005,400 Cost of goods sold17,600 Total current assets9,9009,000 Selling and general administrative expenses3,550 Property, plant, and equipment7,1007,000 Depreciation and amortization expenses1,890 Total assets17,00016,000 Interest Expense900 Accounts payable3,7003,400Total costs and expenses23,940 Income taxes payable900800 Income before taxes7,060 Accrued expenses1,7001,400Income taxes-2,800 Total current liabilities6,3005,600 Net income4,260 Long-term debt2,0001,800 Total liabilities8,3007,400 Common stock ($1 par value)2,7002,700 Paid-in capital in excess in par1,0001,000 Retained earnings5,0004,900 Total stockholders’ equity8,7008,600 Total liabilities and equity17,00016,000

Income before interest and tax expense = Income before taxes + Interest Expense = $7,060 + 900 =…

Answered: How do I calculate based on the Income…

Fundamentals of Financial Management (MindTap Course List)

15th Edition

ISBN:9781337395250

Author:Eugene F. Brigham, Joel F. Houston

Publisher:Eugene F. Brigham, Joel F. Houston

Chapter4: Analysis Of Financial Statements

Section: Chapter Questions

Problem 24P: Income Statement for Year Ended December 31, 2018 (Millions of Dollars) Net sales 795.0 Cost of...

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How do I calculate based on the Income Statement and Balance sheet below: Times Interest Earned =Earnings before interest & taxes/interest expense, gross?

(in thousands)		(in thousands)	2015	2014
Sales (net)	30,500	Cash	400	500
Interest income	500	Short-term investments	300	200
Total Revenue	31,000	Accounts receivable (net)	3,200	2,900
Cost and expenses		Inventory	6,000	5,400
Cost of goods sold	17,600	Total current assets	9,900	9,000
Selling and general administrative expenses	3,550	Property, plant, and equipment	7,100	7,000
Depreciation and amortization expenses	1,890	Total assets	17,000	16,000
Interest Expense	900	Accounts payable	3,700	3,400
Total costs and expenses	23,940	Income taxes payable	900	800
Income before taxes	7,060	Accrued expenses	1,700	1,400
Income taxes	-2,800	Total current liabilities	6,300	5,600
Net income	4,260	Long-term debt	2,000	1,800
		Total liabilities	8,300	7,400
		Common stock ($1 par value)	2,700	2,700
		Paid-in capital in excess in par	1,000	1,000
		Retained earnings	5,000	4,900
		Total stockholders’ equity	8,700	8,600
		Total liabilities and equity	17,000	16,000

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