Balance sheet and income statement data indicate the following: Bonds payable, 4%, due in 25 years Preferred 8% stock, $100 par (no change during the year) Common stock, $50 par (no change during the year) Income before income tax expense for year Income tax for year Common dividends paid Preferred dividends paid Assuming this is the first year of the annual note payment, what is the times interest earned a. 4.74 b. 4.68 O c. 7.71 Od. 6.71 $1,230,000 202.000 1,020,000 330.000 83,000 63,000 17,500

Assuming this is the first year of the annual note payment, what is the times interest earned a. 4.74 b. 4.68 c. 7.71 d. 6.71