medium · Corporate Credit Analysis

A firm has $600 million of FFO,$250 million of Capex, and pays $100 million in dividends.

If Total Adjusted Debt is $2.0 billion, what is the Discretionary Cash Flow (DCF) to Debt ratio?

  1. 30.0%
  2. 7.5%
  3. 12.5%
  4. 17.5%

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