A firm has a net profit margin of 6% on sales of birr 4,000,000 in 2008. If the firms times interest earned ratio is 6 and its in a 40% tax bracket, what was the amount of interest expense for the year?

What is the ROE for a firm with times interest earned ratio of 2, a tax liability of $.90 million, and interest expense of $1.40 million if equity equals $1.40 million?

Times-Interest-Earned Ratio The Morris Corporation has $600,000 of debt outstanding, and it pays an interest rate of 8% annually. Morris's annual sales are $3 million, its average tax rate is 40%, and its net profit margin on sales is 4%. If the company does not maintain a TIE ratio of at least 3 to 1, its bank will refuse to renew the loan and bankruptcy will result. What is Morris's TIE ratio? Round intermediate calculations to two decimal places. Round your answer to two decimal places.

Considering Amazon's Coverage ratios below, please provide a overview of the company's strengths and weaknesses (if any), reasons for the strength/weakness (if any), and reccomendations.

2015

Times interest earned = EBIT / interest expense

2233 / (459+4235) / (1-0.35)) = 0.32 times

2016

Times interest earned = EBIT / interest expense

(4186 / (484+4361) / (1-0.35) = 0.58 times