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For the year that just ended, Stat Industries had net income of $1,300,000, interest expense of $286,000, and times interest earned of 7.13. In the
For the year that just ended, Stat Industries had net income of $1,300,000, interest expense of $286,000, and times interest earned of 7.13. In the coming year, Stats hopes to increase its net income by 15%, increase its tax expense by 12%, and decrease its interest expense by 8 percent. What will Stats new times interest earned be assuming the firm is able to meet these goals?
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