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Compute the times interest earned ratio for ABC Co. using the following financial statistics for 2010: Long-term debt (average rate of interest is 8%) $400,000

Compute the times interest earned ratio for ABC Co. using the following financial statistics for 2010: Long-term debt (average rate of interest is 8%) $400,000 35,000 interest expense Net income 55,000 Income tax 46,000 Operating income 107,000

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