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Bank of America Corporation (NYSE:BAC)
Interest Expense
$-10,169 Mil (TTM As of Sep. 2015)

Interest Expense is the amount reported by a company or individual as an expense for borrowed money. Bank of America Corporation's interest expense for the three months ended in Sep. 2015 was $-2,496 Mil. Its interest expense for the trailing twelve months (TTM) ended in Sep. 2015 was $-10,169 Mil.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company’s Operating Income (EBIT) by its Interest Expense. Bank of America Corporation's Operating Income for the three months ended in Sep. 2015 was $6,069 Mil. Bank of America Corporation's Interest Expense for the three months ended in Sep. 2015 was $-2,496 Mil. Bank of America Corporation's interest coverage for the quarter that ended in Sep. 2015 was 2.43. The higher the ratio, the stronger the company’s financial strength is.


Definition

Interest Expense is the amount reported by a company or individual as an expense for borrowed money.

Bank of America Corporation Interest Expense for the trailing twelve months (TTM) ended in Sep. 2015 was -2517 (Dec. 2014 ) + -2512 (Mar. 2015 ) + -2644 (Jun. 2015 ) + -2496 (Sep. 2015 ) = $-10,169 Mil.

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.


Explanation

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company’s Operating Income (EBIT) by its Interest Expense. The higher, the better.

Bank of America Corporation's interest expense for the three months ended in Sep. 2015 was $-2,496 Mil. Its operating income for the three months ended in Sep. 2015 was $6,069 Mil. And its Long-Term Debt for the three months ended in Sep. 2015 was $237,288 Mil.

Bank of America Corporation's Interest Coverage for the quarter that ended in Sep. 2015 is calculated as

Interest Coverage=-1*Operating Income (Q: Sep. 2015 )/Interest Expense (Q: Sep. 2015 )
=-1*6069/-2496
=2.43

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

The higher the ratio, the stronger the company’s financial strength is.


Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

Bank of America Corporation Annual Data

Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15
Interest Expense -43,991-52,863-40,324-30,807-23,974-21,620-16,744-12,755-10,934-10,549

Bank of America Corporation Quarterly Data

Sep13Dec13Mar14Jun14Sep14Dec14Mar15Jun15Sep15Dec15
Interest Expense -3,116-2,926-2,850-2,928-2,639-2,517-2,512-2,644-2,496-2,897
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