What is MPIs times-interest-earned ratio

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1. Cochran's Furniture Outlet is issuing 30-year, 10 percent callable bonds. These bonds are callable in 5 years with a call premium of $50. The bonds are being issued at par and pay interest semi-annually. What is the yield to call?

2. MPI Incorporated has $4 billion in assets, and its tax rate is 40%. Its basic earning power (BEP) ratio is 13%, and its return on assets (ROA) is 6%. What is MPI's times-interest-earned (TIE) ratio? Round your answer to two decimal places.

3. Say you own an asset that had a total return last year of 10.2 percent. If the inflation rate last year was 3.9 percent, what was your real return? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

Reference no: EM131966848

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