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What would times interest earned have

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a. Assuming debt was $1,500,000 higher in 2015, what would the debt-to-equity ratio have been?

b. Assume that the additional debt will add $110,000 of interest expense. What would times interest earned have been in 2015 if interest expense had been $110,000 higher?

c. Assume you are a bank manager evaluating the potential $1,500,000 loan to HG Lang. Explain why you would or would not be favorably inclined to make the loan.

Reference no: EM132054632

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