Donald's 2006 financial statements contain the following selected data (in millions).
Current assets $4,669.2 Interest expense $496.8
Total assets 28,068.4 Income taxes 1,330.6
Current liabilities 4,214.1 Net income 4,138.4
Total liabilities 14,912.2
(a) Compute the following values.
Working capital (Round to 1 decimal place, e.g. 212.3.)
Current ratio (Round to 2 decimal places, e.g. 2.25.)
Debt to total assets ratio (Round to 0 decimal places, e.g. 212.) Times interest earned (Round to 2 decimal places, e.g. 21.25.)
The notes to Donald's financial statements show that subsequent to 2006 the company will have future minimum lease payments under operating leases of $12,848.1 million. If these assets had been purchased with debt, assets and liabilities would rise by approximately $9,968.9 million. Recompute the debt to total assets ratio after adjusting for this.