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A Company Reports the Following  Income before income tax $600,000 Interest expense 150,000\begin{array} { l r } \text { Income before income tax } & \$ 600,000 \\\text { Interest expense } & 150,000\end{array}

question 189

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A company reports the following:  Income before income tax $600,000 Interest expense 150,000\begin{array} { l r } \text { Income before income tax } & \$ 600,000 \\\text { Interest expense } & 150,000\end{array}
Determine the times interest earned. Round your answer to one decimal place.


Definitions:

Investment Spending

Expenditures on new physical assets like machinery, buildings, or infrastructure, intended to increase productive capacity.

Planned Investment

Investments that are part of a predetermined plan, often by governments or large organizations, focusing on achieving long-term objectives or economic development.

Aggregate Demand Curve

A curve showing the total demand for goods and services within an economy at various price levels.

Consumption

The action of using goods and services to fulfill needs or desires; usually the largest component of GDP.

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