Standard Inc. has an annual interest expense of $40,000. If Standard's times-interest-earned ratio is
3.0, what is Standard's Earnings Before Taxes (EBT)?
A) $47,000 B) $80,000 C) $160,000 D) $120,000
B
You might also like to view...
Which of the following statements is TRUE?
A) The after-tax cost of debt is less than the before-tax cost of debt for a corporation with a tax rate greater than 0.00%. B) The after-tax cost of preferred shares is less than the before-tax cost of preferred shares for a corporation with a tax rate greater than 0.00%. C) The after-tax cost of equity is less than the before-tax cost of equity for a corporation with a tax rate greater than 0.00%. D) None of the above are true.
Differentiation in an organization occurs when people and tasks are grouped or split up into functions and divisions to produce goods and services
Indicate whether the statement is true or false