Question
In: Finance
1.Which of the following factors does not influence a firm's times-interest-earned ratio? a. A firm's tax...
1.Which of the following factors does not influence a firm's times-interest-earned ratio?
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Solutions
Expert Solution
1
a. A firm's tax rate
because ratio consider earnings before tax
2
Amount of debt used by a firm: financial leverage
all other four are factors impacting risk of business
3.
True
the above are answers..
jeff jeffy answered 2 years agoRelated Solutions
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Time interest earned ration =
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2015
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2016
2015
Net sales
10,000
9,500
Cost of goods sold
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(5,200)...
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Ratio of Liabilities to Stockholders' Equity and Number of Times
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Previous Year
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The following data
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Previous Year
Accounts payable
$744,000
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Current maturities of serial bonds payable
460,000
460,000
Serial bonds payable, 10%
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Common stock, $1 par value
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Paid-in capital in excess of par
970,000
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Retained earnings
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Ratio of Liabilities to Stockholders' Equity and Times Interest Earned The following data were taken from...
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Accounts payable
$260,000
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Current maturities of serial bonds payable
340,000
340,000
Serial bonds payable, 10%
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70,000
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840,000
840,000
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Ratio of Liabilities to Stockholders' Equity and Times Interest Earned The following data were taken from...
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Current maturities of serial bonds payable
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Serial bonds payable, 10%
1,520,000
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Common stock, $1 par value
80,000
100,000
Paid-in capital in excess of par
900,000
900,000
Retained earnings
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Current Year
Previous Year
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$604,000
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Current maturities of serial bonds payable
530,000
530,000
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110,000
Paid-in capital in excess of par
960,000
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The income from operations and interest expense from the income
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