Last Year,Javer Company Had a Net Income of $200,000,income Tax

question 115

Multiple Choice

Last year,Javer Company had a net income of $200,000,income tax expense of $74,000,and interest expense of $20,000.The company's times interest earned was closest to which of the following?

• A) 5.30 times.
• B) 10.00 times.
• C) 11.00 times.
• D) 14.70 times.

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Definitions:

Style Analysis

An investment strategy analysis tool used to understand the performance of a portfolio by identifying the factors contributing to its returns.

Fund Returns

The profit or loss on an investment over a specific period, often expressed as a percentage of the investment's initial value.

Asset Allocation

Asset allocation is an investment strategy that aims to balance risk and reward by apportioning a portfolio's assets according to an individual's goals, risk tolerance, and investment horizon.

Information Ratio

A ratio used to measure the return of a portfolio or fund relative to its risk, often used to assess the skill of a portfolio manager.