Operating income P675,000 Interest Expense 75,000 Income before 40% income tax 600,000 Net Income 360,000 Preferred stock dividends 150,000 Net Income available to common shareholders 210,000 Common shares outstanding 90,000 The times interest earned ratio is 6.75 - kindly provide a solution why this is the answer
Operating income P675,000 Interest Expense 75,000 Income before 40% income tax 600,000 Net Income 360,000 Preferred stock dividends 150,000 Net Income available to common shareholders 210,000 Common shares outstanding 90,000 The times interest earned ratio is 6.75 - kindly provide a solution why this is the answer
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Operating income P675,000
Interest Expense 75,000
Income before 40% income tax 600,000
Net Income 360,000
Net Income available to common shareholders 210,000
Common shares outstanding 90,000
The times interest earned ratio is
6.75 - kindly provide a solution why this is the answer
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