Which of the Following Conditions Is NOT an Example of Technical

question 12

Multiple Choice

Which of the following conditions is NOT an example of technical efficiencies?

• A)More output; fewer inputs
• B)Same output; fewer inputs
• C)More output; same inputs
• D)Less output; less inputs

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Definitions:

Cash Coverage Ratio

A financial metric that measures a company's ability to cover its interest obligations with its cash flow.

Depreciation Expense

Segmenting the financial outlay of a physical asset across its period of service.

EBIT

A financial performance indicator, earnings before interest and taxes, which omits the costs related to interest and income taxes.

Times Interest Earned

A financial metric that compares a company's income before interest and taxes to its interest expenses, indicating ability to meet interest obligations.