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Question
A firm has total interest charges of $10,000 per year, sales of $1 million, a tax rate of 40 percent, and a net profit margin of 6 percent. The firm's times interest earned ratio is:
a. 16 times.
b. 10 times.
c. 7 times.
d. 11 times.
e. 20 times.
Answer
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Related questions
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