Calculate the times interest earned ratio using the following information.
sales = $1.5...
Calculate the times interest earned ratio using the following information.
sales = $1.5 million
cost of goods sold = $800,000
depreciation expense = $100,000
addition to retained earnings = $85,000
dividends per share = $1.2
tax rate = 30 percent
number of shares of common stock outstanding = 100,000.
assume the firm has no preferred stock.
a. 2.25 times
b. 1.25 times
c. 1.95 times
d. 2.75 times
Answers: 1
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