Which Ratio Is Calculated by Dividing Profits Before Interest and Taxes

question 56

Multiple Choice

Which ratio is calculated by dividing profits before interest and taxes by total interest charges?

• A) Inventory turnover
• B) Fixed assets turnover
• C) Total assets turnover
• D) Debt-to-equity ratio
• E) Times-interest-earned ratio

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Definitions:

Personal Unconscious

Carl Jung's term for the layer of unconscious that harbors lost memories, painful ideas that are repressed, and undeveloped ideas, particular to the individual.

Complex

In psychology, a complex is a core pattern of emotions, memories, perceptions, and wishes in the personal unconscious organized around a common theme, such as power or status.

Persona

The aspect of an individual's character that is presented to or perceived by others; a social facade.

Extraverted Thinking

A cognitive style characterized by decision-making based on external criteria and logically derived solutions.