In the current year, Salmon Company reported sales of $1,420,000, interest expense of $12,000, income tax expense

Question:

In the current year, Salmon Company reported sales of $1,420,000, interest expense of $12,000, income tax expense of $13,000, and net income of $52,000. What is Salmon’s times interest earned ratio?

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Financial Accounting

ISBN: 9781264229734

11th Edition

Authors: Robert Libby, Patricia Libby, Frank Hodge

See More Books

Question Posted: Oct 14, 2022 01:36 AM

See More Questions

In the current year you are calculating a diversified companys deferred taxes. Based on an analysis of the companys current taxable income and pretax financial income, you have identified the...
In the current year (year 0), Amisha became a shareholder in Sultan Inc., a calendar year S corporation, by contributing $15,000 cash in exchange for stock. Shortly before the end of the year,...
In the current year Ned completely destroys his personal automobile (purchased two years earlier for $28,000) in a traffic accident. Fortunately none of the occupants are injured. The FMV of the car...
If the Albany highway system described in Problem 29 has revised flow capacities as shown in the following network, what is the maximal flow in vehicles per hour through the system? How many vehicles...
How would your answer to BE17- 20 change if year 1 income were equal to $ 100,000? Income (Loss) Year Before Tax $300,000 200,000 450,000) Tax Rate 40% 35% 35%
Modify the program in the previous exercise so that it reads the name of the file from the keyboard. Previous exercise Write a program that will write the Gettysburg Address to a text file. Place...
E 11-3 Parent-company and entity theories Use the information below to answer the questions that follow: Pablo Corporation purchases a 90 percent interest in Song Corporation for $1,260,000 on...
Krohn Company is producing an exception report. One division had $47,500 in budgeted costs, but it actually spent $45,000. How would this variance appear on the exception report?
Determine the accounts receivable turnover ratio from the following information. Question 7 Using the ratio from the previous question, determine the average collection period in days
a. To simplify the analysis, assume for now that there is virtually no turnaround time between flights so the next flight can begin as soon as the current flight ends. (If an immediate next flight is...
Company A uses the FIFO method to account for inventory and Company B uses the LIFO method. The two companies are exactly alike except for the difference in inventory cost flow assumptions. Costs of...
Wolf Company uses the LIFO method to account for inventory and Tiger Company uses the FIFO method. The two companies are exactly alike except for the difference in inventory cost flow assumptions....
In Exercises 11 through 20, evaluate the given expression without using a calculator. 8 2/3
Arizona Corp. had the following account balances at 12/1/19: Receivables: $96,000; Inventory: $240,000; Land: $720,000; Building: $600,000; Liabilities: $480,000; Common stock: $120,000; Additional...
Construct a 90% confidence interval for the population standard deviation o at Bank A. Bank A 4.2 5.4 5.9 6.1 6.6 7.7 7.7 8.6 9.3 10.0
Margin of Error For the poll described in Exercise 1, describe what is meant by the statement that "the margin of error was given as +3.5 percentage points."
1) Explain what the critical issue was in the Uber decisions in the First Circuit (Culliane case), and the Second Circuit (Myer case), and how each court, looking at the same facts, came to opposite...
IFRS LEASE 1. Kappa Berhad enters into a 10-year lease on 1 January 2020. Kappa Berhad incurred the following costs in respect of the lease: RM2,500 legal fees RM15,000 deposit made at the...
Calculate the derivative of the following functions. y = sin 5 (cos 3x)
What is the difference between adsorption and absorption?
Grenke Corporation issues $300,000 of bonds for $315,000. (a) Prepare the journal entry to record the issuance of the bonds, and (b) Show how the bonds would be reported on the balance sheet at the...
Hanrahan Corporation issued $400,000 of 10-year bonds at a discount. Prior to maturity, when the carrying value of the bonds was $388,000, the company retired the bonds at 99. Prepare the entry to...
Megan Haak and Kathy Quandt borrowed $15,000 on a 7-month, 8% note from Golden State Bank to open their business, MKs Coffee House. The money was borrowed on June 1, 2012, and the note matures...
Milano Pizza is a small neighborhood pizzeria that has a small area for in-store dining as well as offering take-out and free home delivery services. The pizzerias owner has determined that the shop...
Which of the following statement regarding a post-closing trial balance is not true
What are the benefits and potential risks factors for undertaking derivative strategies compared to cash transactions

In the current year, Salmon Company reported sales of $1,420,000, interest expense of $12,000, income tax expense

Question:

Step by Step Answer:

Times Interest Earned Ratio Net Inco...View the full answer

Financial Accounting

Students also viewed these Business questions