Question
Chapter 7 Problems: 7-1. Consider the following operating figures Net sales: $1,079,143 Cost and deductions: Cost of sales $792,755 Selling and administration $264,566 Interest expense,
Chapter 7 Problems: 7-1. Consider the following operating figures
Net sales: $1,079,143
Cost and deductions:
Cost of sales $792,755
Selling and administration $264,566
Interest expense, net $4,311
Income taxes $5,059
$1,066,691
$12,452
Note: Depreciation expense totals $40,000
Required
a. Compute the times interest earned.
b. Compute the cash basis times interest earned.
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Cost Accounting Principles And Applications
Authors: Horace Brock, Linda Herrington, La Vonda Ramey
7th Edition
0071115609, 978-0071115605
