19. SAJ sales last year were $435,000, its operating costs includingDepreciation were $362,500, and its interest charges were $12,500. Whatwas the firm's times-interest-earned (TIE) ratio? *a) 4.72b) 5.80c) 5.23O d) 5.51e) None of the abovet of 8%

Time and Interest Earned Ratio = Earning Before Interest and tax/Interest expenses

19. SAJ sales last year were $435,000, its operating costs including Depreciation were $362,500, and its interest charges were $12,500. WH was the firm's times-interest-earned (TIE) ratio? * O a) 4.72 O b) 5.80 c) 5.23 d) 5.51 e) None of the above

19. SAJ sales last year were $435,000, its operating costs including Depreciation were $362,500, and its interest charges were $12,500. WH was the firm's times-interest-earned (TIE) ratio? * O a) 4.72 O b) 5.80 c) 5.23 d) 5.51 e) None of the above

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter6: Accounting For Financial Management

Section: Chapter Questions

Problem 4P: Talbot Enterprises recently reported an EBITDA of $8 million and net income of $2.4 million. It had...

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Question

19. SAJ sales last year were $435,000, its operating costs including
Depreciation were $362,500, and its interest charges were $12,500. What
was the firm's times-interest-earned (TIE) ratio? *
a) 4.72
b) 5.80
c) 5.23
O d) 5.51
e) None of the above
t of 8%

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