Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Extracts from the financial statements of Fred for the year ended 30 June 2020 are shown below: '000 Revenue 475 Cost of sales (342)
Extracts from the financial statements of Fred for the year ended 30 June 2020 are shown below: '000 Revenue 475 Cost of sales (342) Gross profit 133 Expenses (59) Finance cost (26) Profit before tax 48 What was the interest cover ratio for the year ended 30 June 2020? 1.85 0.35 2.85 5.12
Step by Step Solution
★★★★★
3.39 Rating (146 Votes )
There are 3 Steps involved in it
Step: 1
Answer is 285 Interest cover ratio determines the ability of the company to pay interest with its cu...
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
Managerial Accounting
Authors: Ray H. Garrison, Eric W. Noreen, Peter C. Brewer
13th Edition
978-0073379616, 73379611, 978-0697789938
