EX-12 2 cacc-20151231xex121.htm EXHIBIT 12
EXHIBIT 12
CREDIT ACCEPTANCE CORPORATION
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

(In millions, except ratios) | For the Years Ended December 31,
| 2016 |  | 2015 |  | 2014 |  | 2013 |  | 2012
Earnings Available for Fixed Charges |  |  |  |  |  |  |  |  |
Income before provision for income taxes | $ | 531.2 |  |  | $ | 474.5 |  |  | $ | 420.9 |  |  | $ | 398.2 |  |  | $ | 343.1 |
Add fixed charges included in earnings: |  |  |  |  |  |  |  |  |
Interest expense | 97.7 |  |  | 76.0 |  |  | 56.7 |  |  | 65.0 |  |  | 63.4 |
Interest element of rentals | 0.5 |  |  | 0.5 |  |  | 0.5 |  |  | 0.4 |  |  | 0.3 |
Total fixed charges (1) | $ | 98.2 |  |  | $ | 76.5 |  |  | $ | 57.2 |  |  | $ | 65.4 |  |  | $ | 63.7 |
Total earnings available for fixed charges | $ | 629.4 |  |  | $ | 551.0 |  |  | $ | 478.1 |  |  | $ | 463.6 |  |  | $ | 406.8 |
Ratio of earnings to fixed charges | 6.4 |  |  | 7.2 |  |  | 8.4 |  |  | 7.1 |  |  | 6.4 |

(1) “Fixed charges” are defined as interest on borrowings (whether expensed or capitalized) and the portion of rental and operating lease expenses applicable to interest.