2) Given the need for additional capital, should the company use short-term or long-term debt? Make sure you contrast the desirability of long-term debt versus a short-term line of credit.
3) Calculate and utilize appropriate key financial ratios, including the following:
· DuPont Identity with each of its components
· ROA and ROE
· IGR and SGR
· Times Interest Earned
· Any other ratios you deem to be useful
4) If you were a financial institution, would you loan money to provide Panera with the additional debt they need? Why or why not? If banks are willing to loan up to 3 times a company’s prior year EBITDA, how much in loans could Panera potentially receive?