If Moon Corporation Has Depreciation or Amortization Expense,which of the Following

question 77

Multiple Choice

If Moon Corporation has depreciation or amortization expense,which of the following is TRUE?

• A)Its EBITDA/Interest Coverage ratio will be greater than its EBIT/Interest Coverage ratio.
• B)Its EBITDA/Interest Coverage ratio will be less than its EBIT/Interest Coverage ratio.
• C)Its EBITDA/Interest Coverage ratio will be equal to its EBIT/Interest Coverage ratio.
• D)Not enough information to answer the question.

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Definitions:

Reasonable Time

An amount of time that is fair and appropriate under the circumstances to perform a legal duty or obligation.

Promissory Estoppel

A legal principle that prevents a promisor from going back on a promise when the promisee reasonably relies on that promise to their detriment.

Revocations

The act of officially cancelling or withdrawing something, such as a license, permission, or legal right.

Promissory Estoppel

A legal principle that prevents a party from withdrawing a promise when the other party has reasonably relied on that promise to their detriment.