Substituting EBITDA for EBIT when computing the times interest earned ratio will make the company appear

A) more leveraged.
B) less leveraged.
C) more profitable.
D) less efficient.


Answer: B

Business

You might also like to view...

The permanent (continuing) file of an auditor's working papers most likely would include copies of the:

A. Lead schedules. B. Bank statements. C. Audit plan. D. Organizational chart.

Business

The premise of ______ is to explain and predict relationship maintenance.

A. dialectics theory B. politeness theory C. communication privacy management D. social exchange theory

Business

Which of the following is an example of controlling external noise?

a. asking people to turn off their cell phones during a meeting b. eating a meal before a meeting so it doesn't distract you c. taking a nap before a big test d. taking some medicine for an upset stomach before a job interview

Business

U.S. GAAP and IFRS require firms to account for business combinations using the _____ method

a. purchase b. pooling-of-interests c. uniting-of-interests d. equity e. cost

Business