DELL INC.

Times Interest Earned ratio : Ref#(78)

Times Interest earned =EBIT=Earnings before interest and taxes/IE=Interest expense

• High and/or increasing indicates: strong ability to make interest payments with earnings

Dell (2006)=  4602/28=164.35

Dell (2005)=  4461/16=278.81

Dell (2004)=  3738/14=267.00