Question
The times interest earned ratio of McHugh Company is 4.5 times. The interest expense for the year was $20,000, and the company's tax rate is
The times interest earned ratio of McHugh Company is 4.5 times. The interest expense for the year was $20,000, and the company's tax rate is 40%. The company's net income is:
| a | $22,000. |
| b | $42,000 |
| c | $54,000 |
| d | $66,000 |
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Auditing And Assurance Services An Integrated Approach
Authors: Alvin A. Arens, Randal J. Elder, Mark S. Beasley, Chris E. Hogan
18th Edition
0137879199, 9780137879199
