If the Times Interest Earned Ratio

question 77

Multiple Choice

If the times interest earned ratio:

• A) Increases, risk decreases.
• B) Is under 1.5, risk decreases.
• C) Increases, risk increases.
• D) Is over 1.5, risk increases.
• E) Increases and/or is under 1.5, risk decreases.

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Definitions:

Corporation's Offices

Formal premises or spaces designated for the operation and administration of a corporation.

Inspection

The act of examining something or someone closely to ensure they meet specified standards.

Special Meeting

A gathering called for a specific purpose, outside of regular or scheduled meetings, often requiring a certain protocol for notification and agenda.

Shares Entitled

The rights or benefits, such as dividends or voting, that come with the ownership of shares in a corporation.