Times Interest Earned Is Calculated By

question 127

Multiple Choice

Times interest earned is calculated by:

• A)Multiplying interest expense times income.
• B)Dividing interest expense by income before interest expense.
• C)Dividing income before interest expense and any income tax by interest expense.
• D)Dividing interest and income tax expense by income before interest and income tax expense.
• E)Dividing income before interest expense by interest expense and income taxes.

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