In 2020 Rome Corporation Reported Net Income $190,000, Interest Expense

question 154

Multiple Choice

In 2020 Rome Corporation reported net income $190,000, interest expense $60,000, and income tax expense $40,000. Rome's times interest earned was:

• A) 4.2 times.
• B) 3.8 times.
• C) 3.2 times.
• D) 4.8 times.

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Definitions:

Sternberg's Factors

Components of intelligence according to Robert Sternberg, typically including analytical, creative, and practical aspects.

Age

A measure of the amount of time an individual or entity has existed, typically expressed in years.

Fluid Intelligence

The capability to solve new problems, use logic in new situations, and identify patterns without relying on pre-existing knowledge.

Crystallized Intelligence

Crystallized intelligence refers to the ability to use skills, knowledge, and experience, which tends to increase over a person's lifetime.