Interest Coverage Ratio Is a Measure of

question 169

Multiple Choice

Interest coverage ratio is a measure of

• A)financial leverage.
• B)income after taxes and interest divided by interest expense.
• C)stockholders' control.
• D)protection from default on interest.

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Definitions:

Seller

An individual or entity that offers goods or services in exchange for monetary compensation or other benefits.

Demand

The quantity of a good or service that consumers are willing and able to purchase at various prices during a given period of time.

Total Revenue

The total income received by a firm from the sale of its products or services.