Corporate Discussion-Boeing v Available after Monday, March 26, 2018 12:00 AM ED

ID: 2554155 • Letter: C

Question

Corporate Discussion-Boeing v Available after Monday, March 26, 2018 12:00 AM EDT. What do the numbers 247 and 777X have in common? They are the first and newest modern airplanes, which are both built by The Boeing Company. The number of passengers on US based flights total over 850 million annually. Before you check your frequent flyer account, answer the following questions about Boeing. Start with the hyperlink to get to the 10-K. Answers to questions 1-6 are located in Item 8. All of the numbers in the financial statements for The Boeing Company are listed "in millions" Correct answers to questions 1-6 will have the amount AND "in millions" (This is the same as having multiplied the number by 1,000,000.) The formulas for ratios are located in chapter 10 of the textbook and Power Point. Correct answers to ratios include the correct format and two decimal places. Question 8 is extra credit. 1. What was the Net Income Attributable to Shareholders for the current year? (2 points) 2. What was the Net Income Attributable to Shareholders for the year prior to the current 3. What was the Interest Expense for the current 4. What was the Interest Expense for the year prior 5. What was the Income Tax Expense (Provision for 6. What was the Income Tax Expense (Provision for year? (2 points) year? (2 points) to the current year? (2 points) Income Tax) for the current year? (2 points) Income Tax) for the year prior to the current year? (2 points) current year? (3 points) year prior to the current year? (2 points) 7. What is the Times Interest Earned Ratio for the 8. What is the Times Interest Earned Ratio for the

Explanation / Answer

net income attributable to shareholders current year-2017

8197000000

net income attributable to shareholders previous year -2016

4895000000

Interest expense for the current year -2017

360000000

Interest expense for the previous year -2016

306000000

income tax expense for current year-2017

1850000000

income tax expense for previous year-2016

673000000

times interest earned for current year -2017 - ebit/interest

10278000000/1850000000

5.55567568

times interest earned for current year -2016 - ebit/interest

5834000000/673000000

8.66864785