Thomson Trucking has $24 billion in assets, and its tax rate is 25%. Its basic earning power (BEP) ratio is 18%, and its return on assets (ROA) is 7.25%. What is its times-interest-earned (TIE) ratio? Round your answer to two decimal place
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Thomson Trucking has $24 billion in assets, and its tax rate is 25%. Its basic earning power (BEP) ratio is 18%, and its
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- The Berndt Corporation expects to have sales of 12 million. Costs other than depreciation are expected to be 75% of sales, and depreciation is expected to be 1.5 million. All sales revenues will be collected in cash, and costs other than depreciation must be paid for during the year. Berndts federal-plus-state tax rate is 40%. Berndt has no debt. a. Set up an income statement. What is Berndts expected net income? Its expected net cash flow? b. Suppose Congress changed the tax laws so that Berndts depreciation expenses doubled. No changes in operations occurred. What would happen to reported profit and to net cash flow? c. Now suppose that Congress changed the tax laws such that, instead of doubling Berndts depreciation, it was reduced by 50%. How would profit and net cash flow be affected? d. If this were your company, would you prefer Congress to cause your depreciation expense to be doubled or halved? Why?Talbot Enterprises recently reported an EBITDA of $8 million and net income of $2.4 million. It had $2.0 million of interest expense, and its corporate tax rate was 40%. What was its charge for depreciation and amortization?Ogier Incorporated currently has $800 million in sales, which are projected to grow by 10% in Year 1 and by 5% in Year 2. Its operating profitability ratio (OP) is 10%, and its capital requirement ratio (CR) is 80%? What are the projected sales in Years 1 and 2? What are the projected amounts of net operating profit after taxes (NOPAT) for Years 1 and 2? What are the projected amounts of total net operating capital (OpCap) for Years 1 and 2? What is the projected FCF for Year 2?
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- graser trucking has $12 billion in assets, and its tax rate is 40%. its basic earning power (BEP) ratio is 15% and its return on assets (ROA) is 5%. what is its times interest earned (TIE) ratio?Thomson Trucking Co. has $12 billion in assets and its tax rate is 25%. The firm’s basic earning power (BEP) ratio is 10% and its ROA is 5.25%. What is the firm’s times interest earned (TIE) ratio? please show all the stepsThe Grey Corporation has $12 billion in assets, and its tax rate is 40%. The company’s basic earning power (BEP) ratio is 15%, and return on assets (ROA) is 5%. Calculate the firm’s times interest earned (TIE) ratio.
- Thompson Trucking has $9 billion in assets, and its tax rate25%. Its basic earning power (BEP) ratio is 20%, and its returnon assets (ROA) is 5.25%. Whatis its time interest earned (TIF)ratio? Round you answer to twodecimal places.MPI Incorporated has $5 billion in assets, and its tax rate is 35%. Its basic earning power (BEP) ratio is 12%, and its return on assets (ROA) is 3%. The data has been collected in the Microsoft Excel Online file below. Open the spreadsheet and perform the required analysis to answer the question What is MPI's times-interest-earned (TIE) ratio? Round your answer to two decimal places.Chipotle has $2,500 million in assets, consisting of $1,055 million in debt, $1,445 million in equity, and its tax rate is 35%. The company’s basic earning power (BEP) is 15%, and its return on assets (ROA) is 7.8%. What is Chipotle’s ROIC?
