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Neeley Office Supplies income statement is given below. a. What is the times interest earned ratio? b. What would be the fixed charge coverage ratio?
Neeley Office Supplies income statement is given below. a. What is the times interest earned ratio? b. What would be the fixed charge coverage ratio? Neeley Office Supplies Sales $200,000; Cost of goods sold $115,000; Gross profit $85,000; Fixed charges other than interest $25,000; Income before interest and taxes $60,000; Interest $15,000; Income before taxes $45,000; Taxes $15,300; Income after taxes $29,700
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