Determine the Constant of Variation for the Stated Condition

question 292

Multiple Choice

Determine the constant of variation for the stated condition.
-Body-mass index, or BMI, takes both weight and height into account when assessing whether an individual is underweight or overweight. BMI varies directly as one's weight, in pounds, and inversely as the square of one's height, in inches. In adults, normal values for the BMI are between 20 and 25. A person who weighs 172 pounds and is 69 inches tall has a BMI of 25.4. What is the BMI, to the nearest tenth, for a person who weighs 120 pounds and who is 65 inches tall?

• A) 20
• B) 20.3
• C) 19.6
• D) 19.3

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Definitions:

EBITDA Coverage Ratio

Similar to the times-interest-earned ratio, but it recognizes that many firms lease assets and also must make sinking fund payments. It is found by adding earnings before interest, taxes, depreciation, and amortization and lease payments, then dividing this total by interest charges, lease payments, and sinking fund payments over 1 minus the tax rate.

TIE

Times Interest Earned, a financial metric indicating how well a company can meet its interest obligations based on current earnings.

DSO

Days Sales Outstanding, a measure of the average number of days that a company takes to collect payment after a sale has been made.

Repurchase

This refers to the action of buying back previously sold products or shares, often used as a way to return capital to shareholders or reduce outstanding shares.