Trident Corp

question 7

Multiple Choice

Trident Corp., has debt of $3.35 million with an interest rate of 6.875 percent. The company has an EBIT of $2,766,009. What is its times-interest-earned ratio? Round your final answer to nearest number.

• A) 13 times
• B) 12 times
• C) 11 times
• D) None of the above

Distinguish the relationship between implicit premises and the conclusion of an argument.

Grasp the process of distilling an argument to its essential components.

Recognize the impact of argument structure on its strength and coherence.

Understand the significance of every idea presented in an argument’s structure.

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Definitions:

Discount Rate

This is the rate of interest utilized in the process of discounted cash flow analysis to calculate the current value of future cash flows.

Received

Amounts of money or assets that have been taken in by an individual or organization.

Years

Units of time measuring the duration or length of events or intervals typically consisting of 365.25 days in the Gregorian calendar.

Future Value

The value of a current asset at a specified date in the future based on an assumed rate of growth over time.