Stockbridge industries has total asset turnover ratio

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Stockbridge Industries has a total asset turnover ratio of 3.6 times and net annual sales of 43.2 million. If stockbridge has $6 million of total debt on its balance sheet, what is the firms total debt ratio?

42.67%

33.33%

50%

16.67%

25%

Stockbridge pays 10% annual interest on its outstanding debt. If the firms total operating costs (including cost of goods sold and depreciation) equal $37 million, what is the firms times interest earned (TIE) ratio?

22 times

43 times

10.33 times

24.5 times

20.33 times

Reference no: EM131867852

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