Garnet Company reported the following on its income statement: Income before income taxes$450,000Income tax expense52,000Net income$398,000 An

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Garnet Company reported the following on its income statement:

Income before income taxes$450,000Income tax expense52,000Net income$398,000

An analysis of the income statement revealed that interest expense was $50,000. Garnet Company's times interest earned are earned was:

a.10 times.

b.8.1 times.

c.11 times.

d.7.8 times.

Related Book For answer-question

Contemporary Financial Management

ISBN: 978-1285198842

13th edition

Authors: R. Charles Moyer, James R. McGuigan, Ramesh P. Rao

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Posted Date: Jun 14, 2024 07:27 AM

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Garnet Company reported the following on its income statement: Income before income taxes$450,000Income tax expense52,000Net income$398,000 An

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Contemporary Financial Management

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