Given the Following Information for the Siri Company, Calculate the Ratios

question 25

Essay

Given the following information for the Siri Company, calculate the ratios as requested.
$\begin{array}{lll}&\text { December } 31, & \text { December } 31, \\&\text { Year } 1 & \text { Year } 2\\\text { Current assets } & \$ 100,000 & \$ 150,000 \\\text { Noncurrent assets } & 400,000 & 500,000 \\\text { Current liabilities } & 50,000 & 100,000 \\\text { Long-term debt } & 300,000 & 300,000 \\\text { Common stock, } 10,000 \text { shares } & 100,000 & 100,000 \\\text { Retained earmings } & 50,000 & 150,000\end{array}$

$\begin{array}{lc}&\text { Year } 2\\\text { Net income } & \$ 100,000 \\\text { Interest expense } & 40,000 \\\text { Income taxes } & 30,000 \\\text { Total revenues } & 1,000,000\end{array}$

a. Interest coverage ratio
b. Long-term debt ratio at December 31, Year 2
c. Total assets tumover

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Definitions:

Neuroglial Cell

Neuroglial cells, commonly known as glial cells, support, protect, and maintain the homeostasis of the nervous system, playing roles in nutrient supply to neurons and damage repair.

Electrical Impulses

Rapid fluctuations of voltage across a membrane, used by neurons and muscle cells for communication and activation.

Sensory Organs

Parts of the body that receive and process sensory stimuli, such as the eyes, ears, nose, tongue, and skin.

Neurons

Specialized cells of the nervous system that transmit information through electrical and chemical signals, forming the basis of neural communication.