Debt Management Ratios Calculate the Times Interest Earned Ratio for Tierre's

question 91

Multiple Choice

Debt Management Ratios Calculate the times interest earned ratio for Tierre's Ts,Inc.using the following information.Sales = $200,000,cost of goods sold = $50,000,depreciation expense = $13,000,addition to retained earnings = $70,000,dividends per share = $0.50,tax rate = 30 percent,and number of shares of common stock outstanding = 1,000.Tierre's Ts has no preferred stock outstanding.

• A)0.1814
• B)0.4854
• C)0.685
• D)3.7756

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