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Solve Please Times interest earned Averill Products Inc. reported the following on the company's income statement in 20 Y 8 and 20 Y 9 :
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Times interest earned Averill Products Inc. reported the following on the company's income statement in 20 Y 8 and 20 Y 9 : Income before income tax expense 5,544,0004,400,000 a. Determine the times interest earned ratio for 20 Y 8 and 20Y9. Round to one decimal place. 20Y9 20Y8 Times Interest Earned b. Is the change in the times interest earned ratio favorable or unfavorable? Feedback Check My Work a. (Income Before Income Tax Expense + Interest Expense)/Interest Expense to obtain the ratio. b. This ratio computes the number of times interest payments could be paid out of current-period earnings. High values are considered favoStep by Step Solution
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