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Which of the following is correct about the interest coverage ratio, which is sometimes referred to as times interest earned? Multiple choice question. It is
Which of the following is correct about the interest coverage ratio, which is sometimes referred to as times interest earned? Multiple choice question. It is a measure of the margin available to a company in making its interest and debt payments. It is calculated by dividing operating income by net income. Companies with good credit ratings generally have low interest coverage ratios. It is computed by dividing net income by dividends paid
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