Balance Sheet and Income Statement Data Indicate the Following Based on the Data Presented Above, What Is the Number

question 22

Multiple Choice

Balance sheet and income statement data indicate the following: $\begin{array}{ll}\$ 1,000,000 & \text { Bonds payable, } 10 \% \text { (issued } 1988 \text { due 2012) } \\300,000 & \text { Preferred } 5 \% \text { stock, } \$ 100 \text { par (no change during year) } \\2,000,000 & \text { Common stock, } \$ 50 \text { par (no change during year) } \\350,000 & \text { Income before income tax for year } \\80,000 & \text { Income tax for year } \\50,000 & \text { Common cividends paid } \\15,000 & \text { Preferred dividends paid }\end{array}$ Based on the data presented above, what is the number of times bond interest charges were earned (round to one decimal point) ?

• A) 3.7
• B) 4.4
• C) 4.5
• D) 3.5

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Definitions:

Haploid

A cell or organism having a single set of chromosomes, typically half the normal diploid number, characteristic of gametes.

Cell

The basic structural, functional, and biological unit of all known living organisms, a small compartment enclosed by a membrane that contains the organism's genetic material and the biochemical structures needed to sustain life.

Metaphase I Alignment

A stage of meiosis where homologous chromosomes align at the cell equator before being separated into two different cells.

Maternal Chromosomes

Refers to the chromosomes that an organism inherits from its mother.