Balance Sheet and Income Statement Data Indicate the Following: Bonds

question 93

Multiple Choice

Balance sheet and income statement data indicate the following: Bonds payable, 6% this is year 4 of 20 years) Preferred 8% stock, $100 par no change during the year) $1,200,000
200,000
Common stock, $50 par
No change during the year) 1,000,000
Income before income tax for year
340,000
Income tax for year
80,000
Common dividends paid
60,000
Preferred dividends paid
16,000
Based on the data presented above, what is the number of times bond interest charges were earned round to two decimal places) ?

• A) 5.72
• B) 6.83
• C) 4.72
• D) 4.83

---

Definitions:

Health Trends

The general direction in which the collective health of a population is moving, often identified through statistical analysis of health-related data over time.

Healthy People Initiatives

Government-led efforts aimed at setting goals and providing science-based objectives to improve the health and well-being of people.

United States

A country in North America consisting of 50 states, a federal district, five major self-governing territories, and various possessions.

HHS

The Department of Health and Human Services, a federal agency overseeing health and welfare programs in the United States.