If a Firm's Cash Coverage Ratio Is Greater Than Its

question 7

Multiple Choice

If a firm's cash coverage ratio is greater than its times interest earned ratio, then:

• A)The firm's assets are not fully depreciated
• B)The firm has no lease obligations
• C)The firm has very little long-term debt
• D)The firm has a high degree of liquidity

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Definitions:

Psychiatrist

A medical practitioner specializing in the diagnosis, treatment, and prevention of mental, emotional, and behavioral disorders, distinct in their ability to prescribe medication.

Counselor

A professional who provides guidance, advice, or therapy to individuals or groups to promote mental health, emotional well-being, and personal growth.

Insight Therapies

A group of psychotherapies in which verbal interactions are intended to enhance clients’ self-knowledge and thus promote healthful changes in personality and behavior.

Behavior Therapies

The application of the principles of learning to direct efforts to change clients’ maladaptive behaviors.