The times-interest-earned ratio is calculated as ________.
A) earnings before interest and tax divided by interest expense
B) profit before tax divided by interest expense
C) net income divided by interest expense
D) income tax expense plus interest expense divided by interest expense
A) earnings before interest and tax divided by interest expense
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Unearned revenue arises from the acceptance of payment in advance for a service to be performed
Indicate whether the statement is true or false
The exchange of U.S. wheat for Russian vodka would be an example of barter
Indicate whether the statement is true or false
For paying their payroll, most employers use payroll checks drawn on a special bank account
Indicate whether the statement is true or false
Two kinds of noncurrent liabilities are
A) deferred liabilities and rescheduled obligations. B) bills payable and credit card balances due. C) co-signor agreements and bankruptcy judgments. D) noncurrent portions of loans with repayment schedules and loans without repayment schedules.