What Is Babcock's Times Interest Earned, If Its Total Interest

question 154

Multiple Choice

What is Babcock's times interest earned, if its total interest charges are $20,000, sales are $220,000, and its net profit margin is 6 percent? Assume a tax rate of 40 percent.

• A) 2.65
• B) 1.1
• C) 2.1
• D) 1.2

---

Definitions:

Sympathetic Nervous System

Part of the autonomic nervous system that activates the body's rapid involuntary response to dangerous or stressful situations.

Subjective Awareness

The state of being conscious of one’s thoughts, feelings, and surroundings from a personal perspective.

Cortex

The brain's outermost layer, which plays a crucial role in advanced functions including consciousness, thinking, emotions, logical analysis, language acquisition, and remembering.

Hypothalamus

A small, crucial region of the brain located near the base, involved in many processes, including hormone production, regulation of hunger, sleep, mood, and autonomic functions.