Which Ratio Measures the Number of Dollars of Operating Cash

question 118

Multiple Choice

Which ratio measures the number of dollars of operating cash available to meet each dollar of interest and other fixed charges that the firm owes?

• A)Times interest earned
• B)Fixed-charge coverage ratio
• C)Cash coverage ratio
• D)Operating coverage ratio

---

Definitions:

Initiative

The ability to assess and initiate things independently, often leading to the implementation of new plans or strategies.

Employee's Departure

The process or act of an employee leaving a company or organization, either voluntarily or involuntarily.