3. The Corporation's net operating income last year was P103,000; its interest expense was P17,000; its total stockholders' equity was P1,260,000; and its total liabilities were P380,000. Compute the following: a. Times interest camed. b. Debt-to-equity ratio.

Managerial Accounting: The Cornerstone of Business Decision-Making
7th Edition
ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Chapter15: Financial Statement Analysis
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Problem 50E: Juroe Company provided the following income statement for last year: Juroes balance sheet as of...
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3. The Corporation's net operating income last year was P103,000; its interest expense was
P17,000; its total stockholders' equity was P1,260,000; and its total liabilities were P380,000.
Compute the following:
a. Times interest eamed.
b. Debt-to-equity ratio.
Transcribed Image Text:3. The Corporation's net operating income last year was P103,000; its interest expense was P17,000; its total stockholders' equity was P1,260,000; and its total liabilities were P380,000. Compute the following: a. Times interest eamed. b. Debt-to-equity ratio.
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