DUON Show Me How Times Interest earned Averil Products Inc. reported the following on the company's income statement in 2018 and 2049: 2049 2018 Interest expense $480,000 $430,000 Income before income tax expense 6,000,000 4,687,000 a. Determine the times interest earned ratio for 20Y8 and 2019. Round to one decimal place. 2049 20Y8 Times Interest Earned b. Is the change in the times interest earned ratio favorable or unfavorable? Favorable v Feedback Check My Work a. (income Before Income Tax Expense + interest Expensey'interest Expense to obtain the ratio b. This ratio comoutes the number of times interest payments could be paid out of current-perlod earnings. High values are considered DODUL SHOW ME HOW Entries for issuing Bonds Thomson Co. produces and distributes semiconductors for use by computer manufacturers. Thomson issued $810,000 of 20-year, 11% bonds on May 1 of the current year at face value, with interest payable on May 1 and November 1. The fiscal year of the company is the calendar year. May 1 Issued the bonds for cash at their face amount. Nov. 1 Pald the interest on the bonds. Dec. 31 Recorded accrued Interest for two months. Journalize the entries to record the above selected transactions for the current year. If an amount box does not require an entry, leave it blank. May 1 Cash Bonds Payable Nov. 1 Interest Expense Cash Dec. 31 Interest Expense Interest Payable Check My Wors Bonds payable is always recorded at face value. The semi-annual cash payment to bondholders is the interest expense when bonds are sold at Face value Check My Work Previous Next All work saved Save and Ed Submit Assignment for Grading