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• Jun 22, 2026 chapter 7 long term debt paying ability Coverage Ratio = 120,000 / 20,000 = 6.0 (comfortable margin) Cash Flow to Debt Ratio = 150,000 / 400,000 = 0.375 (cash flows cover debt 37.5 times) Long Term Debt to EBITDA = 400,000 / 200,000 = 2.0 (de By Lana Altenwerth