Problema firm has total interest charges of 10000 per year, Ask an Expert

Accounting

Problem:

A firm has total interest charges of $10,000 per year, sales of $1 million, a tax rate of 40%, and a net profit margin of 6%.

Required:

Question: What is the firms times-interest-earned ratio?

Note: Provide support for your underlying principle.

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Accounting Basics, Accounting

Category:- Accounting Basics
Reference No.:- M91172068

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