Oak Corporation's financial statements for the current year showed the following: Note: Round your answers to 2 decimal places. Income Statement Revenues Expenses Interest expense Pretax income Income tax (218) Net income $870,000 (634,000) (16,100) Times interest earned ratio 219,900 (46,179) $173,721 Compute Oak's times interest earned ratio.
Oak Corporation's financial statements for the current year showed the following: Note: Round your answers to 2 decimal places. Income Statement Revenues Expenses Interest expense Pretax income Income tax (218) Net income $870,000 (634,000) (16,100) Times interest earned ratio 219,900 (46,179) $173,721 Compute Oak's times interest earned ratio.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Oak Corporation's financial statements for the current year showed the following:
Note: Round your answers to 2 decimal places.
Income Statement
Revenues.
Expenses.
Interest expense
Pretax income
Income tax (218)
Net income
Compute Oak's times interest earned ratio.
$870,000
(634,000)
(16,100)
219,900
(46,179)
$173,721
Times interest earned ratio
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