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Business, 30.03.2020 20:18 marleas

Refer to the information below from Nordstrom Inc.’s 2016 financial statements. Use the information to answer the requirements ($ millions). Sales $16,983 Depreciation expense 626 Tax expense 442 Interest expense, gross 219 Earnings from continuing operations (Net income) 896 EBITA 1,611 Cash 661 Average total assets 11,360 Total debt 3,167 Noncurrent deferred tax liabilities 554 Noncontrolling interest 0 Equity 871 Dividends paid 1,185 Cash from operating activities 2,451 a. Compute the following seven Moody’s metrics for Nordstrom. See Appendix 4A for definitions. Round answers to one decimal place (example for percentage answers: 0.2345 = 23.5%). Ratio 2016 EBITA to average assets Answer Operating margin Answer EBITA margin Answer EBITA interest coverage Answer Debt to EBITDA Answer Debt to book capitalization Answer Retained cash flow to net debt Answer b. Use your computations from part a, along with measures in Exhibit 4.7, to estimate the long-term debt rating for Nordstrom. Based on the above computations, the rating for Nordstrom's long-term debt would fall in the Answer

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Refer to the information below from Nordstrom Inc.’s 2016 financial statements. Use the information...

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