Orono Corp

question 34

Multiple Choice

Orono Corp.'s sales last year were $435,000, its operating costs were $362,500, and its interest charges were $12,500.What was the firm's times interest earned (TIE) ratio?

• A) 4.72
• B) 4.97
• C) 5.23
• D) 5.51
• E) 5.80

Understand the career paths and responsibilities in sales.

Know the motivations behind choosing a sales career.

Understand the importance and process of product presentation and closing sales.

Recognize non-financial and financial rewards of a sales career.

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Definitions:

Tariff

A tax imposed by a government on imported or exported goods, often used to protect domestic industries or to generate revenue.

Consumer Surplus

The difference between what consumers are willing to pay for a good or service and the actual price they pay.

Comparative Advantage

Comparative advantage is the ability of an individual, company, or country to produce a good or service at a lower opportunity cost than competitors, underpinning international trade theory.

International Trade

The exchange of goods, services, and capital across international borders, driven by the concept of comparative advantage.