question 70
Multiple Choice
TEW COMPANY
Balarce Sheet
As of Decermber 31
ASSETS Cash Accounts receivable Inventory Net plant and equipment Total assets LIABIlTES AND STOCKHOLDERS’ EQUTYY Accounts payable Accrued expenses Long-term debt Common stock Paid-in capital Retained earnings Total liabilities and stockholders’ equity $20,00080,00050,000250,000$400,000$40,00060,000130,000100,00010,00060,000$400,000
TEW COMPANY
Income Statement
For the year ended Decernber 31
Sales (all on credit) Cost of goods soldGross profit Sales and administrative expenses Fixed lease expenses Depreciation Operating profitInterest expense Profit before taxes Taxes (30%) Net income$500,000200,000$300,00020,00010,00040,000$230,00020,000$210,00073,500$136,500
Refer to the tables above. Fixed charge coverage for Tew Company is ________.
Definitions:
Lower Classes
A term referring to the socioeconomic group characterized by lower income, limited access to education and economic opportunities, often performing manual labor or service jobs.
Sacred
Considered holy or deserving veneration, often associated with divinity, religious practices, or objects imbued with spiritual significance.
Profane
Anything regarded as not sacred or religious; everyday, mundane objects or activities without spiritual significance.
Indigenous Peoples
Indigenous peoples are ethnic groups who are the original inhabitants of a given region, possessing distinct cultures, languages, and traditions, often connected to the land of their ancestors.