A company reports the following: Income before income tax $370,300 Interest expense 80,500 Determine the times...

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A company reports the following: Income before income tax $370,300 Interest expense 80,500 Determine the times interest earne

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Answer 1

Answer #1

Earnings before interest and taxes(balance)(370300+80500)	450800
Less:interest expense	(80500)
Income before income tax	370300

Times interest earned=Earnings before interest and taxes/interest expense

=450800/80500

=5.6

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Answer 2

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