Which of the following is true with respect to NET WORKING CAPITAL?

A. If a firms current ratio is 1, then its net working capital is 1.

B. If a firms current ratio is less than 1, it will have positive working capital.

C. If a firms current ratio is greater than 1, it will have negative working capital.

D. a, b, and c are all true

E. a, b and c are all not true (false)

Which ratio best describes how well a firm has its interest obligations covered?

a. the inventory turnover ratio

b. the interest to depreciation ratio

c. the total debt ratio

d. the times interest earned ratio

e. the debt to equity ratio