The following ratios have been calculated for Wholesale Appliances, Inc. Analyze the capital structure and long-term solvency of Wholesale Appliances, Inc.
2015 2016
Debt ratio (%) 77.8 90.3
Long-term debt to total capital (%) 29.8 66.1
Times interest earned (times) (2.0) (2.8)
Cash interest coverage (times) 4.6 4.1
Fixed charge coverage (times) (0.4) (1.0)
Cash flow adequacy (times) 0.2 0.3