The Times-Interest-Earned Ratio Is Calculated As

question 66

Multiple Choice

The times-interest-earned ratio is calculated as:

• A) income from operations / interest expense
• B) net income / interest expense
• C) net income after taxes + interest expense/interest expense
• D) income from operations - interest expense/interest expense

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Definitions:

Adler

Alfred Adler, an Austrian medical doctor and psychotherapist, known for his contributions to psychology especially the development of individual psychology.

Individual's

Pertaining to or characteristic of a single, particular person or thing.

Humanistic

A psychological perspective emphasizing personal growth, self-actualization, and the inherent goodness of people.

Functioning

The action of working or operating in a proper or intended manner, often used to refer to how well something performs its designated role.