Long-Term Debt-Paying Ability Flashcards
1
Q
Times Interest Earned
A
(Recurring Earnings, Excluding Interest Expense, Tax Expense, Equity Earnings and Minority Earnings)/Interest Expense, Including Capitalized Interest
2
Q
Fixed Charge Coverage
A
(Recurring Earnings, Excluding Interest Expense, Tax Expense, Equity Earnings and Minority Earnings) + (Interest Portion of Rentals)/(Interest Expense, Including Capitalized Interest) + Interest Portion of Rentals
3
Q
Debt Ratio
A
Total Liabilities/Total Assets
4
Q
Debt to Equity Ratio
A
Total Liabilities/Total Shareholders’ Equity
5
Q
debt to Tangible Net Worth
A
Total Liabilities/(Shareholders’ Equity - Intangible Assets)
6
Q
Operating Cash Flow to Total Debt
A
Operating Cash Flow/Total Debt
